Thank You Pastors and Church Leaders

Thank You Pastors and Church Leaders

As 2022 comes to a close and many look at the start of a new year, we want to take a moment to say thank you to the many pastors and church leaders we have the joy of serving.

Leading and shepherding a church body can be difficult, but so many of you are faithful and pour yourselves out for the people in your congregations and communities.

Posted On: December 27th, 2022

Church Tax Filing Requirements for 2023

Church Tax Filing Requirements for 2023

Tax time is almost here. If you’re like most people, you have lots of questions about taxes: What forms does my church need to file and when? Will we meet all the church tax filing requirements? Do we use paper forms, use the e-file service, or create a file upload?

We’re here to help you get re-acquainted with federal and state requirements so you can be prepared and minimize your stress.

Let’s go over the most important forms you need to think about for Tax Day.

The “Big 3” Forms

The most popular forms are the W-2, 1099-MISC & 1095-C. The W-2 and 1099 are required to be filed with the federal government and most states. For tax year 2022, the 1095-C is required to be filed to the IRS federally and in three states – California, New Jersey, and Rhode Island – and the District of Columbia[i].

Currently, the e-file threshold for these forms stands at 250 or more. There are proposed changes, however, that would lower the threshold to 100 initially and then to 10 before eventually mandating e-filing. As of this posting, the new changes have not been finalized, so the 250 form guidance remains.[ii]

Here’s a look at these three most widely used forms in church tax filing… 

W-2 Forms

  • What: The form employers use to report yearly wages and withholding information for employees.
  • Who: An employee is anyone who performs services for an employer and the employer can control what will be done and how it will be done. (Even employees with freedom of action).
  • File To: SSA & Employees.
  • E-file Threshold: 250 or more forms.
  • Deadline Paper, E-file, and uploads – January 31, 2023[iii].

1099-MISC Forms

  • What: The form businesses use to report miscellaneous income. (e.g. contract or freelance worker whom you paid at least $600 during the year, as well as fees, royalties, commissions and rental income).
  • Who: An individual is considered an independent contractor if the payer has the right to control or direct only the result of the work and not how it will be done.
  • File To: IRS & Recipients.
  • E-file Threshold: 250 or more forms.
  • Deadline: Paper, E-file, and uploads – January 31, 2023.

1095-C Forms

  • What: The form employers use to report health coverage for employees (1095-B for self-insured employers with fewer than 50 full-time employees).
  • Who: Full-time employees are defined as those who worked an average of at least 30 hours per week or 130 service hours in a calendar month.
  • File To: IRS & Employees.
  • E-file Threshold: 250 or more forms.
  • Federal Deadline: Paper – February 28, 2023; E-file – March 31, 2023[iv].
  • State Deadlines: Varies by state – check local tax experts for details[v].

Other Forms

There are other forms you may be required to file, such as 1099-DIV, 1099-INT, or 1099-R to name a few. For information on these and other forms and deadlines, we recommend you visit IRS.gov or consult a tax expert.

Be Prepared

We want to help you be a responsible steward of your ministry’s finances and keep your data organized. There is a lot to think about and plenty of details involved with church tax filing requirements. Need help managing and organizing your finances? You can get in touch with us here to see how we might be able to help.


[i] https://www.taxbandits.com/aca-forms/form-1095-c-due-date/

[ii] https://www.nysscpa.org/news/publications/the-trusted-professional/article/irs-to-gradually-lower-e-filing-return-threshold-requirement-to-10-072721

[iii] https://blog.checkmark.com/w2-deadline-penalty-and-extension/#:~:text=W-2%20Deadline%20for%202022%20%20%20%20Form,SSA%20Electronically%20%20%20January%2031%2C%202023%20

[iv] https://www.taxbandits.com/aca-forms/form-1095-c-due-date/

[v] ibid

Posted On: December 21st, 2022

Planning a Church Staff Christmas Party

Planning a Church Staff Christmas Party

Christmas is known as “the most wonderful time of year”, but for church staff, it’s also one of the busiest. While adding a church staff Christmas party to the mix can feel overwhelming, it also can be a great way for your team to step back from the craziness, relax, and celebrate together.

Posted On: December 15th, 2022

Three Ways to Save on Church Software in 2023

Three Ways to Save on Church Software in 2023

Heading into a new year means implementing that new church budget you and your team have spent so much time working on. If you’re like most churches, you’ve made cuts and adjustments to help reduce costs and best steward your resources. As a result, one line item that may have been updated is your church software budget. 

Posted On: December 8th, 2022

How to Do Effective Follow Up In Church

How to Do Effective Follow Up In Church

There is often an imbalance in the time & energy spent inviting people to church vs. following up with people who have attended. This is a problem because people often escape out “the back door” without notice. One of the most effective ways to counteract this is implementing a system to ensure effective follow-up in church.

Posted On: November 29th, 2022

5 Ways to Ruin Year-End Giving Statements

5 Ways to Ruin Year-End Giving Statements

The holidays are in full swing, which means it’s a busy season for churches. But with all the business, don’t forget the New Year is just around the corner and that means year-end giving statements will need to be prepped and sent out.

Posted On: November 17th, 2022

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