If your husband received a W-2, then you are entering your expenses in the wrong place.
- For a quick return to what you must report, type "Clergy" in the Search box, then click Jump to clergy.
- The program will take you to the W-2 income screen. Click on the Edit icon.
- Continue clicking through the screens until you come to the one headed Do any of these uncommon situations apply to this W-2? Select the box for Religious employment. (Click on the screenshot below for an image.)
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On the next screen, About Your Religious Employment, select You earned this income for clergy employment.
- Continue working through these screens until you have answered all the questions.
You will only need to file a Schedule C if your husband receives payment for performing weddings, funerals, etc. apart from what he earns as a pastor. If he has this income, then you can report it and the associated expenses as self-employment income.
This
article explains more about the tax treatment of clergy income.
