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Ministers are allowed to receive lodging or accommodations from the church free of income tax liabilities. However, churches need to “cover all their bases” in order to satisfy the requirements of the Internal Revenue Service (IRS) and to maximize housing allowance benefits for ministers.
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Because the handling of cash itself does not result in the Internal Revenue Service acknowledging and accepting the accounting of funds given or received, establishing an appropriate method of handling offerings could be one of the more important aspects of church financial management.
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