I'm clergy, do I have to check to pay self-employment tax on housing allowance and wages?

[Opus 17]

99.9% of the time, you must pay tax on both.

The exceptions are rare and strange, such as if you belong to an order that has taken a vow of poverty, or if your church is taxing your pay incorrectly.

Typically, you should have a W-2 with boxes 3-6 blank.  Or a 1099-MISC.  If you have withholding for social security and medicare in boxes 4 and 6, write back for more details.

Also see this for good general tax information for clergy 

http://www.ecfa.org/PDF/2016-Preparing-Tax-Returns-For-Clergy.pdf

[tho1]

Very helpful thank you! I only ask because boxes 4 and 6 aren't blank, I asked someone else at church, and they said that is because we got a small bonus at the end of the year, and they already took out SE tax on the bonus.  Do you know how I would show that in Turbo Tax?...So about 99% of my income has not been taxed via SE, but a small portion of it was.

[Opus 17]

Someone made a goof.  If you had FICA and medicare taken out from your whole W-2, but not housing or parsonage, that can be easily fixed.  But if FICA and medicare were taken out of part of your W-2 wages but not the whole thing, turbotax won't tax it correctly.

You will need to see a tax professional, or switch to using the Desktop version of Turbotax installed on your Mac or PC, and be prepared to make some manual overrides.  I can probably guide you through that process.

Or if the amount is small, eat the double taxation.

[azizmoaddab]

What is active clergy and all clergy?

[Opus 17]

@azizmoaddab see <a rel="nofollow" target="_blank" href="https://www.irs.gov/forms-pubs/about-publication-517">https://www.irs.gov/forms-pubs/about-publicati...>

also <a rel="nofollow" target="_blank" href="https://www.irs.gov/taxtopics/tc417">https://www.irs.gov/taxtopics/tc417</a>

and <a rel="nofollow" target="_blank" href="http://www.ecfa.org/PDF/2017-Ministers'-Taxes-Made-Easy.pdf">http://www.ecfa.org/PDF/2017-Ministers'...>

Generally speaking, to be treated as a clergy person or minister under IRS regulations, the person must

"Ministers are individuals who are duly ordained, commissioned, or licensed by a religious body constituting a church or church denomination. Ministers have the authority to conduct religious worship, perform sacerdotal functions, and administer ordinances or sacraments according to the prescribed tenets and practices of that church or denomination."

You must have authority to minister in that church. You also must actually be hired in performing religious duties. For example, a lay person who preaches or leads Bible classes but is not ordained is not a clergy person for tax purposes. On the other hand, an ordained clergy person who is hired for non-religious duties only, would be treated as a regular employee and not a clergy person. It depends on the person's qualifications and also their actual duties.