What is 508(c)(1)(A)?

A Publication of Churches Under Christ Ministry

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Jerald Finney
Copyright © December 8, 2017

See Church Internal Revenue Code § 508(c)(1)(A) Tax Exempt Status for full explanation of church 508(c)(1)(A) status. That article explains why 508(c)(1)(A) status puts a church under the same rules and regulations that come with 501(c)(3) and the authority of the Internal Revenue Service regardless of whether the IRS has the resources to enforce the rules and regulations that come with the status. This short article is very basic.

126 United States Code § 508(c)(1)(A), also referred to as Internal Revenue Code § 508(c)(1)(A), is a law which was enacted by Congress and signed by the President.

Some churches rely on this law rather than another law, § 501(c)(3) of the Internal Revenue Code, to establish tax exempt status.

§ 508(c)(1)(A). Special rules with respect to section 501(c)(3) organizations. “(a) New organizations must notify secretary that they are applying for recognition of section 501(c)(3) status. “(c) Exceptions. “(1) Mandatory exceptions. Subsections (a) and (b) shall not apply to— “(A) churches, their integrated auxiliaries, and conventions or associations of churches” (26 U.S.C. § 508). [Emphasis mine.]

508(c)(1)(A) churches are subject to the same rules which 501c3 churches are subject to. En1, En2; En3 (full explantion of church 508(c)(1)(A) status)

The Bible Answer to the Question, “Is an Incorporated 501(c)(3) or 508(c)(1(A) Church a Church of Christ?” (Prepared for a talk given at the September 16-19 Liberty Baptist Church of Albuquerque, NM, Southwest Baptist Heritage Camp Meeting. Click here to go to Part I of the video of that presentationClick here to go to Part II of that presentation, “Why a Church Is Not a Business.” Part II was removed from Part I. In Part II, Jerald Finney invited Evangelist and Pastor Terry Woodside to tell his story which demonstrates that a church which is a non-legal entity cannot be sued in America. Click here to go to the page which has links to all sermons and presentations at that meeting.)


En1 See Should a Church Be a 508(c)(1)(A) Church?

En2 See What is 501(c)(3)?

En3 Church Internal Revenue Code § 508(c)(1)(A) Tax Exempt Status. This article gives a thorough explanation of church 508 status.

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