The First Amendment to the Constitution and corresponding state constitutional provisions, the highest law of the United States and the highest laws of each state, guarantee religious freedom and soul liberty and declare that churches in America can organize and do things God’s way without persecution or taxation. Many churches are doing just that; they are organizing under their Bridegroom, and Him alone.
Many companies market money-making schemes in which they convince uneducated Christians to organize churches outside God’s principles. Foundation Groupis one of those companies. Under their scheme, they teach and implement church incorporation and LLC status. Any kind of legal status for churches, to include incorporation and LLC, grieve our Lord and violate church doctrine given by God in his word, the Bible. Christ is jealous of His Bride and wishes her to remain under Him and Him alone.
The Simply Church Ministry website has books, articles, essays, and video teachings which explain the Bible doctrines of church, state, church and state, and the proper application of those doctrines. Only one who has studied the word of God and various legal forms of organization will understand the lies of Foundation Group. The Simply Church website gives the believer and church all the resources they need to understand God’s church organizational doctrine and His desired relationship between church and state.
Foundation Group is right about some matters. For example, they are correct in teaching that church 508(c)((1)(A) status makes a church a 501(c)(3) tax-exempt organization. They are dead wrong in advising churches to organize as corporations or LLC’s. Both types of organizations are creatures of the state organized under state law, and subject to all the rules and regulations that come with the organization. See, for example, Legal Explanation of Incorporation of Churches | Simply Church. If a church incorporates or gets LLC status, they may as well get 501(c)(3) tax-exempt state as well.
I welcome the opportunity to do a published video debate with a Foundation Group representative. However, I do not believe they would agree to this because it would expose them for what they are. I left a comment on their website challenging them to a debate, but have not heard back from them. I believe they removed the comment. I cannot find it.
The following posts on the Simply Church website give short answers to some important questions with links to more in-depth studies. These short articles will get you started in your study of church organizational matters.:
This article will briefly address some, but not all, false and misleading statements in Does a Church Need 501(c)(3) Status? A Guide to IRS Rules, a publication of Foundation Group, that uninformed “Christians” choose to believe and follow. This article applies to Foundation Group, and almost all Christan organizations, lawyers, legal firms, believers and churches; only a small remnant have any understanding of God’s definition of and principles and commandments for God’s churches. Thus, the church they are concerned about is man’s church, not God’s church; they apply man’s, not God’s, definition and principles.
It is apparent that Foundation Group has no concept of what a church-as defined by the word of God-is. Their article defines a church as “an organization with activities that are religious, not commercial.” What a joke! For God’s definition of “church” see, Bible Doctrine of Church.
It is also apparent that the Foundation Group does not understand some other matters. They do not understand that a church who remains solely under the First Amendment is non-taxable. The only way any entity–whether individual, business, religious, etc.–is required to pay taxes is by law. The First Amendment forbids a law taxing churches.
Nor does the Foundation Group understand that the use of the term “tax-exempt” in the context of 501(c)(3) is misleading. Like all other churches, churches who freely choose to dishonor God by accepting the federal government offer for “tax-exempt” status pay no taxes. Churches simply do not pay taxes. That is not why churches choose to become “tax-exempt.” The real reason for their choice is that the Internal Revenue Service will allow deductions claimed on income tax returns by donors to the church.
Their article states: “A tiny handful of churches have given up 501(c)(3) status in order to do and say whatever they choose without regard to limits otherwise placed on charities. However, this comes at the cost of tax exemption and privileges, as well as the ability to have donors give tax-deductible gifts.” This is an admission that churches who reject 501(c)(3) tax exempt status remain free to do and say the things God lays on their heart and that tax-exempt status limits their ability as to what they can to do and say. Unlike 501(c)(3) and 508(c)(1)(A) churches, they are free to follow the commandments, principles, and examples in the word of God. The second part of that quote is addressed below.
Their article states: “By default, the US government considers churches to be 501(c)(3) organizations automatically, simply by virtue of existing. Because no corporate structure is needed, a church (generally) is a 501(c)(3). …” This conclusion has no basis and is patently false. No law or regulation declares such a thing. Such a conclusion would deny the religious liberty guaranteed by the First Amendment. See, Are Churches Automatically Tax Exempt?
The First Amendment to the United States Constitution states:
“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.
Notice that the Amendment says “no law.” As one Supreme Court Justice said, “no law” means “no law.” By the way, 501(c)(3) is a law made by Congress, and, when applied to churches, respects an establishment of religion and prevents the free exercise thereof.
All parts of the First Amendment are related to and the result of the fight for religious (not business) freedom by Baptists in the colonial period. The first clause in the Amendment is the Religion Clause. That clause prohibits union of church and state (the establishment clause) and legislates freedom of conscious (the free exercise clause) on the federal level. For unrevised documented explanation, see:
The Religion Clause applies only to churches (and other religions in this pluralistic society). Churches and businesses have a distinct history and are entirely different types of entities. A church in America has a choice of whether to obtain federal tax-exempt status and become a fake church (if she is not already fake through incorporation or some other union with civil government) or to remain a true non-taxable church modeled after the examples and principles in God’s word and legislated in the highest law of America, the United States Constitution, Amendment 1. A fake tax-exempt church, as does a fake church incorporated under state law, submits herself to an authority other than to the Lord Jesus Christ. She agrees to abide by the rules and regulations that come with tax exempt status. See, The Rules and Regulations that Come with Church IRS Code Sections 501(c)(3) and 508(c)(1)(A) Tax-Exempt Statusand Church Internal Revenue Code § 508(c)(1)(A) Tax Exempt Status.
The status of a church who chooses to honor God by maintaining her non-taxable status is protected by the First Amendment; she remains a church and is not classified by the government as a business if she chooses to reject the status. The government has no law or regulation which states that a church who rejects the status is now to be treated as a business; such would be in violation of the First Amendment establishment and free exercise clauses. Even if that were not true, a local church under Christ makes no profit whatsoever and therefore cannot be taxed. Even a business which makes no profit cannot be taxed, even though, unlike a church, it is required to file an income tax return.
The statement in their article, “Because no corporate structure is needed, a church (generally) is a 501(c)(3), ” is nonsensical.
Here is a statement in their article that comes from somewhere in the wild and creative imagination of its author who is obviously preying upon the ignorance of churches in his attempt to convince churches to use the services of Foundation Group: “If for some reason you and your church leadership decide that you don’t want to be a 501(c)(3), you are simply deciding to be treated like a taxable, for-profit business. …” I have already discredited this, so let us move on.
As their article indicates, it may be more convenient for a church to bow down to the federal government. For example:
Sometimes glorifying and pleasing God in America can be inconvenient, but not as much so as in many nations to this very day and by followers of Christ for the last two thousand years. Our Lord Jesus Christ, the apostles, and millions of other believers from the beginning of the church age until this day were persecuted, imprisoned, beheaded, drowned, burnt at the stake, have had to hide out from church state establishments, etc. Their only way out of these “inconveniences” was to obey man rather than to God. Note: By the way, all state religious property tax exemption laws come with no strings attached and are just a courtesy from a time in this nation when God and the Bible were revered by almost everyone in the nation.
2. Some donors may not join or remain in a church who does not apply for (IRS Form 1023) and receive 26 U.S. Code (Internal Revenue Code) § 501(c)(3) tax exempt status from their new master. Some donors may not join in or remain in a church who claims IRC § 508(c)(1)(A) status. See, 26 U.S. Code § 508 – Special rules with respect to § 501(c)(3)) organizations. Of course, God desires His children to give for His glory and because they love Him, not because they get a tax deduction.
A believer dishonors God when he joins a church (e.g., a corporate and/or federally tax-exempt church) which serves mammon and is unequally yoked with any entity other than the Lord Jesus Christ.
IV. Analysis of False Reasons of Christians and Lawyers for Church Corporate, 501(c)(3) and 508(c)(1)(A) tax exempt Status or Legal Status of Any Kind.
V. Answers to Questions and Comments from Pastors and Other Believers Concerning Church Organization
VI. Contact Information for this Simply Church Ministry
I. Introduction
Most believers in America have never considered whether or not God’s Word communicates teachings, doctrines, and principles concerning Christ’s churhes which are at odds with the organization and conduct of the church they attend. They never ask, “Has my church been corrupted from the simplicity that is in Christ” (See, 2 Corinthians 11:3).
Most have not considered whether violation of His principles is important to God or whether there are long term negative consequences for deviating from God’s church rules. Most pastors were never taught, and do not teach, New Testament Church doctrine and its application. They assume that their practices handed them by tradition are in line with God’s will. That would be OK if, indeed, their tradition were in line with God’s Word.
Is a church, according to God, to be:
a temporal worldly organization,
or an organism, the body of Christ; instinct with His life, and heavenly in calling, promise, and destiny,“
or a combination of the two?
How is one to know “the nature, purpose, and form of organization of local churches, and the right conduct of such gatherings?” God’s Word, mainly in the epistles of Paul, answers these questions.
As the serpent beguiled Eve, has your church been corrupted from the simplicity that is in Christ?” Will you turn your back on God’s Word as regards God’s church principles?
II. Bible Principles
What are the principles and how can a church in America apply them? The essential principles are relatively easy to grasp, but some Bible study is needed to get into the deeper waters of the doctrine.
The basic principles for church organization are rather simple:
Christ purchased the church with His own blood (Acts 20:28).
He “also loved the church, and gave himself for it; That he might sanctify and cleanse it with the washing of water by the word, That he might present it to himself a glorious church, not having spot, or wrinkle, or any such thing; but that it should be holy and without blemish” (Ephesians 5:25-27).
God gave God the Son “to be the head over all things to the church (Ephesians 1:22).
Christ “is the head of the body, the church: who is the beginning, the firstborn from the dead; that in all things he might have the preeminence” (Colossians 1:18).
A church is to be espoused to one husband, to be presented “as a chaste virgin to Christ” (2 Corinthians 11:3).
God desires that a church have no relationship with any other lover, any other entity, than the Lord Jesus Christ.
In other words, God desires His churches to love and glorify Him by remaining 100% faithful as shown by the fact that they are in relationship with no entity other than the Lord Jesus Christ.
other methods of operation and organization by which a church which entangles herself with another lover by becoming a “legal entity“?
The answer to the three questions above is yes. To understand this, one must understand the Bible principles and then make the application of those principles to a particular type of organization. For links to short answers explaining the facts about church incorporation, tax exempt status, etc. Go to Short Answers to Some Important Questions (each short answer links to additional more in depth studies.)
See the following for short answers which link to additional resources which give more in depth answers:
Sadly, Satan, through his subtilty, has beguiled most churches in America, as he did Eve, from the simplicity that is in Christ. Most are temporal worldly organizations who, to one degree or another name the name of Christ but keep the commandments of men as opposed to the principles of God.
In America, the First Amendment to the United States Constitution (the highest man-made law of the land) and corresponding provisions of the Constitutions of all the states allow a church the freedom, without persecution, to apply God church principles. See, Religious Liberty in America, The History and Meaning of the First Amendment, or An Abridged History of the First Amendment. Even though man’s highest laws in America regarding the relationship of church and state protect those churches who choose to honor God in the matter, most churches follow American tradition rather than God’s word in their relationship to civil government, mainly by incorporating and applying for Internal Revenue Code § 501(c)(3) status or claiming 501(c)(3) status under Internal Revenue Code § 508(c)(1)(A).
How can a church organize as did the churches in the New Testament and according to the New Testament Church doctrine? This website gives you God’s principles, the way to apply those principles, and information on many related matters. For a concise explanation of the Bible principles and application of those principles, see Simply Church: The Holy Union of Christ and His Local Church; see also, for more information and links to more resources, Bible Trust: Principles and Application.
Among false reasons given for church incorporation, federal tax exempt status under Internal Revenue Code §§ 501(c)(3) or 508(c)(1)(A), or become some other kind of legal entity are:
A. To Own Property
B. The church must operate as a business
C. So that the church can go into debt
D. So that the church may enter into contracts
E. So that the church can manage their employee payroll and tax matters
F. Limited liability
G. Romans 13 and other verses require a believer and church “to obey every ordinance of ma”
H. Just follow your convictions, but it is best to incorporate your church and get federal tax exempt status
I. To be “practical” a church must incorporate and get federal tax exempt status
J. etc.
V. Answers to Questions and Comments Concerning Church Organization from Pastors and Others:
1 John 2:5: “But whoso keepeth his word, in him verily is the love of God perfected: hereby know we that we are in him.”
John 14:23: “Jesus answered and said unto him, If a man love me, he will keep my words: and my Father will love him, and we will come unto him, and make our abode with him.”
Please feel free to call me at any time to discuss church organization. If you get a voicemail, please leave a message and I will return your call at any time, as does Helping Hand Outreach. This is a ministry and does not charge for ministry services or time. God bless.
This article, and the resources linked to herein, explain why Helping Hand Outreach is devoid of both Biblical and legal understanding. The Bible–not mysticism, man’s reasoning, man’s philosophies, or man’s law–is to be the sole foundation for all matters of faith and practice. The word of God gives the principles which every Christian and church should seek to honor when considering church order. According to Bible church doctrine, “NO CHURCH SHOULD BE 508(c)(1)(A)” or a legal entity of any kind.
Helping Hand Outreach and its website were pointed out to me by a pastor who took the time to seek out the matter of proper church organization. He examined what they had to say. He stated the charges for their services are considerable and continuing. Then he found the Churches under Christ Ministry website, studied materials on the website, and contacted the ministry. He is now organizing the church he is head elder of according to New Testament principles. This article reveals that Helping Hand Outreach – like StartCHURCH, other similar organizations and many “Christian” lawyers and law firms – are worldly organizations that help churches grieve our Lord and dishonor their His Word, the Bible, by violating New Testament church doctrine. They do so by entangling churches with the state and federal governments. These organizations prey upon the ignorance of pastors, church leaders, and churches. They lead the unlearned into darkness.
Of course, Helping Hand Outreach adds a new twist. The website states: “We are the leader in starting Faith Based Organizations as 508(c)(1)a)’s. We have been performing for 12 years and our FBO’s are operating in 48 out of 50 states.” They state that all churches should be “508(c)(1)(A).” The truth is that no church should be 508(c)(1)(A), 501(c)(3), or a legal entity of any kind.
When I went to the website and clicked the “get started” button and filled in the requested information, they sent me an email which read, in part:
Thank you for expressing interest in starting a 508(c)(1)(a) Ministry. How your ministry if formed is crucial to what it can and cannot do. Nonprofit organizations are not all the same; some have rights and benefits that others do not.
Please complete one of the following options. 1) Fill out the order and pay online through our secure shopping cart at https://www.helpinghandoutreach.com/product/508/ or, 2) Fill out the attached PDF “508 Application” and return with payment of a check or payment made by credit card over the phone.
The filing includes the 1) articles of incorporation, 2) certificate of incorporation, 3) certificate of good standing, 4) SS4 with TEIN from the IRS, 5) the charities registration exemption letter, 6) draft bylaws, and 7) sample first minutes of the board meeting. This is a Washington State filing. The 508 is good in all 50 states and recognized in all foreign countries that have signed the Hague Convention. It is common for ministries to be formed in one state but operate in other states. We serve as the registered agent for your organization.
The total fees includes recording, all recording fees and the first year of registered agent services is $2500. We do accept pay plans and do not charge any interest on balances. The ministry filing is completed within 20 days.
In addition we can acquire an apostille if your ministry will be doing international work. An “apostille” is a form of authentication issued to documents for use in countries that participate in the Hague Convention of 1961. A list of countries that accept apostilles is provided by the U.S. State Department. The fee for an apostille is an additional $30.
After formation, once a year the 508(c)(1)(a) Ministry needs to be renewed. The renewal fee, including the state fee, is $110. Please let us know if you have additional questions.
Jerald, we look forward to helping you be a light to the world!
See the Endnote for the entire email.
Let me explain, uniquivocally, why “NO CHURCH SHOULD BE 508(c)(1)(A)” and no church should be a legal entity of any kind.
A church dishonors God when she recognizes any authority other than the Lord Jesus Christ. Our Lord loved the church and gave Himself for it (Ep, 5:25). He purchased the church with His own blood (Acts 20:28). Our Lord wishes churches to choose to keep Christ the head (authority) over all things to the church (See, e.g., Ephesians 1:22, Colossians 1:18).
A church under Christ alone is a spiritual non-taxable entity only protected by the First Amendment to the United States Constitution and outside the jurisdiction of man’s law. The pastor of such a church, as well as the church, has all the protections of the First Amendment. He can preach as the Lord, not the federal government, leads.
A church who becomes a legal entity of any kind has chosen another authority, civil government, for many purposes. A legal entity is a temporal earthly entity which can contract, sue, be sued, be charged with a crime, or act legally in any other ways. A church can only become a legal entity through man’s law: through non-profit corporation law, unincorporated association law, charitable trust law, business trust law, Internal Revenue Code § 501(c)(3) or 508(c)(1)(A) tax exemption law, etc. For thorough Biblical and legal explanation see God Betrayed/Separation of Church and State: The Biblical Principles and the American Application. See also, Short Answers to Some Important Questions for shorter quicker answers to some important matters. A church who chooses to become a legal entity has voluntarily placed herself, as a legal person, under the Fourteenth Amendment to the United States Constitution for many purposes.
Of course, the Helping Hand Outreach publication has a small amount of truth mixed with a lot of lies. For example, as Helping Hand Outreach states, there is considerable confusion about what pastors can and cannot say from the pulpit. Their article does not address the cause of the confusion. The cause of the confusion is a lack of knowledge, understanding, and wisdom of God’s word and the application thereof. Pastors and members of churches who choose to remain under Christ and Christ alone have not been confused. They have always, even under penalty of death, preached what the Lord leads them to preach. They have always exercised their God-given freedoms and principles regardless of the laws of civil government. They have always honored civil government as long as civil government law did not require them to disobey God.
America, by making the First Amendment part of the highest law of the land, became the second civil government, with any lasting influence, to protect religious freedom and soul liberty. Originally, the First Amendment applied only to federal jurisdiction. However, in 1833, Massachusetts became the last state to abolish the requirement for church establishment (church incorporation) on the state level. Church legal entity status is a choice, but not a requirement, on the state level. However, most American churches have betrayed God and chosen to become corporations or other types of legal entities on the state level and/or either to apply for 501(c)(3) tax exempt status or claim 508(c)(1)(A) tax exempt status on the federal level. The Lord Jesus Christ as sole authority over the church is not sufficient for them. See, The History and Meaning of the First Amendment.
Because of the First Amendment and corresponding state constitutional provisions, churches can choose, without persecution, to do things God’s way which is explained in the New Testament. The First Amendment provides for religious freedom and soul liberty. The First Amendment protects those churches who choose to remain under Christ alone.
Sections 501(c)(3) and 508(c)(1)(A) tax exempt status, not Form 1023 as stated in the Helping Hand Outreach publication, violate the First Amendment. Form 1023 is merely an application form, not a law. The tax exempt law, 501(c)(3) and 508(c)(1)(A), violates the First Amendment as to churches. Both 501(c)(3) and 508(c)(1)(A) are laws passed by Congress and signed into law by the President. The First Amendment says:
“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.”
Thus, by voluntarily submitting to a law such as 501(c)(3) or 508(c)(1)(A), a church has taken herself from under the founding law of the land, the highest law regarding religion, speech, association, and press while submitting to a legislative law which on its face is unconstitutional for churches. Churches choose to do this because of ignorance of God’s will and for perceived “benefits.”
For a complete analysis of church 508(c)(1)(A) status, see Church Internal Revenue Code § 508(c)(1)(A) Tax Exempt Status. That essay explains in some detail matters such as the difference between church 501(c(3) and 508(c(1)(A) tax exempt status, and church First Amendment non-taxable status.
Even a business which does not make a profit will pay no taxes. Is a church to be an earthly temporal organization whose gifts to the corporation operates under man-made law, rules, and regulations? Or is a church to be a spiritual eternal body ordered according to the principles of God and which uses money given to God according to the will of God? The real reason for federal tax-exempt status, whether through 501(c)(3) or 508(c)(1)(A), is to assure donors that the IRS will approve tax deductions for gifts. In the event of audit, the donor must show an IRS Acknowledgment from the 501(c)(3) or 508(c)(1)(A) church. The IRS may require the giver to the 508(c)(1)(A) church to prove that it was a church he gave to. Of course, 501(c)(3) churches are on the IRS list of approved tax exempt organizations.
By giving IRS Acknowledgments, the 508(c)(1)(A) church claims tax exempt status without having filed Form 1023. She has put herself in the same position, by claiming the same status, as the 501(c)(3) church. She has taken herself from under the First Amendment and put herself under a law, a law which the First Amendment forbids, as to churches.
Of course, churches do not have to worry too much anyway. The IRS, to this point in time, does not have the resources and personnel to keep an eye on churches. Besides, cannot churches and pastors can be trusted to proceed with honesty, integrity, knowledge, understanding and wisdom? Or can they? Those who feel that the 508(c)(1)(A) tax exempt church is not under the same rules and regulations as other tax exempt churches certainly cannot.
Dan Peterson <info@helpinghandoutreach.org>Unsubscribe
To:Jerald
Tue, Apr 26 at 7:03 PM
508(c)(1)(a) Application
Hello Jerald,
Thank you for expressing interest in starting a 508(c)(1)(a) Ministry. How your ministry if formed is crucial to what it can and cannot do. Nonprofit organizations are not all the same; some have rights and benefits that others do not.
Please complete one of the following options. 1) Fill out the order and pay online through our secure shopping cart at https://www.helpinghandoutreach.com/product/508/ or, 2) Fill out the attached PDF “508 Application” and return with payment of a check or payment made by credit card over the phone.
The filing includes the 1) articles of incorporation, 2) certificate of incorporation, 3) certificate of good standing, 4) SS4 with TEIN from the IRS, 5) the charities registration exemption letter, 6) draft bylaws, and 7) sample first minutes of the board meeting. This is a Washington State filing. The 508 is good in all 50 states and recognized in all foreign countries that have signed the Hague Convention. It is common for ministries to be formed in one state but operate in other states. We serve as the registered agent for your organization.
The total fees includes recording, all recording fees and the first year of registered agent services is $2500. We do accept pay plans and do not charge any interest on balances. The ministry filing is completed within 20 days.
In addition we can acquire an apostille if your ministry will be doing international work. An “apostille” is a form of authentication issued to documents for use in countries that participate in the Hague Convention of 1961. A list of countries that accept apostilles is provided by the U.S. State Department. The fee for an apostille is an additional $30.
After formation, once a year the 508(c)(1)(a) Ministry needs to be renewed. The renewal fee, including the state fee, is $110. Please let us know if you have additional questions.
Jerald, we look forward to helping you be a light to the world!
Many professionals have been asking for more detailed information on Section 508(c)(1)(a). We have prepared a legal analysis about the legislative history, intent, and court rulings concerning Faith Based Organizations organizing and operating under Section 508(c)(1)(a) and Section 501(c)(3). If you value freedom of speech and freedom to express religion, please click on the link below to our website for this important information.
President Trump, desiring to help churches and “Christians,” and according to the advice of those “Christians” and other religious leaders who surround him, pledged to eliminate the Johnson Amendment which limits all nonprofits from endorsing and opposing political candidates. See Endnote 1 for links to articles on this matter. I believe he is sincerely trying to help churches. Accordingly, he signed an executive order easing restrictions on political activity by non-profits. Of course, he cannot unilaterally change the law; but he did all he could do to help – ease but not eliminate one of the five restrictions which come with 501(c)(3) status. Just as non-profit corporation status puts the state of incorporation over a church for many matters, 501(c)(3), a man made law, still puts the federal government and the IRS agency over churches with respect to certain rules and a multitude of regulations that come with the chosen 501(c)(3) status. See Endnote2 for list of some of the regulations that come with 501(c)(3) and links to resources which explain 501(c)(3) and 508(c)(1)(A) tax exempt status in some detail.
Does this action by the President correct the problem with 501(c)(3)? No. I explain why in this article.
Click the above to go to the article, “Is Separation of Church and State Found in the Constitution?
One should be aware that the highest man made law in America, the First Amendment to the United States Constitution, and corresponding state constitutional provisions make clear that churches have a choice – remain under Christ only or submit to the state and federal governments through corporate 501(c)(3) status.
Keep in mind, for example:
Matthew 16:18 “And I say also unto thee, That thou art Peter, and upon this rock I will build my church; and the gates of hell shall not prevail against it.” Is a church built partially or wholly by man (man’s law) a church of Christ? Is such a church His church?
Ephesians 1:22 “And hath put all things under his feet, and gave him to be the head over all things to the church.” Is Christ the head over all things to an incorporated 501(c)(3) or 508 church? The simple to comprehend answer is an emphatic, “No!”
Colossians 1:18 “And he is the head of the body, the church: who is the beginning, the firstborn from the dead; that in all things he might have the preeminence.”
Let us first briefly examine or look at what church 501(c)(3) status really is. This will highlight the real issue. We will have to touch on incorporation since the two are intertwined.
Most churches choose to apply for both corporate and 501(c)(3) or 508(c)(1)(A) tax exempt status even though a choice not to do so is protected by the First Amendment and corresponding state constitutional provisions. 508(c)(1)(A) status puts a church in the same position as 501(c)(3) status. See, Church Internal Revenue Code § 508 Tax Exempt Status. Churches who incorporate and/or get 501(c)(3) or 508(c)(1)(A) status are established churches. They combine with civil government under man-made law. They get some perceived “benefits” and powers from civil government. In return, they agree to abide by the non-profit corporation laws of the state of incorporation and the commandments which come with the federal 501(c)(3) law they sought and agreed to. They also agree that, in the event they have issue with a commandment imposed by the law, the authority who will decide the issue is the government through its court systems. Their authority for many matters is the civil government, not the Lord Jesus Christ. One might call those churches who constantly defy and complain about the rules or commandments they agreed to “hypocrites.”
Churches who seek and obtain 501(c)(3) agree to abide by the rules and regulations that come with 501(c)(3), and also to any future rules added by the federal government though legislation, or by the Internal Revenue Service and upheld by the courts. Maybe some do not realize what they are doing when they get such status; some may proceed without knowledge, understanding, and wisdom. Nonetheless, when they get the status, they agree to the rules and commandments which come with the status and they agree that, in the event their authority who will decide the issue is the first the agency process with appeal to federal court available to the losing side, not the Word of God. Corporate 501(c)(3) churches proudly proclaim victory when their authority rules in favor of their position and moan and groan when their authority decides against them. They cannot understand that they lost no matter what their authority decides because they have put themselves under the wrong authority, according to the Word of God; and even their so-called victories are riddled with compromise.
Originally, a church who chose 501(c)(3) status agreed to 4 commandments or rules, added by legislative law. The IRS added a fifth. Prior to Bob Jones University v. United States, 461 U.S. 574 (1983), there were four rules. Bob Jones University upheld the IRS “shall not violate fundamental public policy” rule. Now there are five commandments. The fifth one has not yet been applied, as far as I know, to a church. However, many pastors do not preach of certain matters because they fear that they will be in violation of that rule—they do not wish to offend their master, their authority, by preaching certain matters covered by the Word of God. Many pastors openly preach on prohibited matters knowing that the state may exercise their authority and command them to comply or lose their status and suffer other penalty imposed by their master. The only authority to which a church can appeal, should the IRS agency rule against them, is the civil court system. By the way, the court will not allow such a church to make Bible based arguments.
As one can see, corporate 501(c)(3) status comes with the loss of many of the church’s First Amendment rights. A corporate 501(c)(3) church is a “legal entity,” an artificial person who has placed herself under the Fourteenth Amendment for many purposes thereby giving up much of her First Amendment protection. A First Amendment church cannot be sued for violation of the rules that come with 501(c)(3) or 508(c)(1)(A) because such a church has not submitted herself to the Internal Revenue Code Section 501(c)(3) or Section 508(c)(1)(A). She cannot be forced to get such status because the First Amendment religion clause says, “Congress shall make no law respecting the establishment of religion or prohibiting the free exercise thereof.”
A 501(c)(3) church also agrees to many regulations. See Endnote2 for list of some of the regulations that come with 501(c)(3) and links to resources which explain 501(c)(3) and 508(c)(1)(A) tax exempt status in some detail.
One who does just a little study can easily understand that the governments of the state of incorporation and the federal government are the authorities, for many purposes, of a corporate 501(c)(3) church. The Lord Jesus Christ is, at most, only one of their authorities or heads. For many churches, Christ is completely eliminated from the equation and their sole authority is civil government. Churches grieve our Lord by submitting to another head. Christ is not over “over all things to” those churches. According to the Bible, this raises a very important question, “Are corporate 501(c)(3) churches of Christ, built by Christ and Him alone?” They are churches, but are they Christ’s churches? The answer is obvious.
So the main issue is one of authority. Looking beyond that, only the legislature, not the President, can eliminate the Johnson Amendment or any other rule that comes with 501(c)(3) status. It is a law, passed by Congress and signed by the President. The President, of course, is the law enforcer. Like any law enforcer, he can choose to ease or relax his efforts to enforce what he deems to be an unjust law, you might say. He cannot do away with the fact that the authority of the 501(c)(3) church, as to the rules that come with it, is the federal government through its agent, the IRS. The courts, not the President, decide unresolved clashes between 501(c)(3) churches and the IRS. Only the legislature, not the President, can repeal a law subject to his signature of approval. The legislature has taken no action to overrule the Johnson Amendment in the many months since President Trump filed his executive order nor has President Trump encouraged the legislature to do away with either 501(c)(3) status or any of the other rules that come with 501(c)(3).
Even should the Johnson Amendment be eliminated by legislative law signed by the President, there would still be four other rules that churches agreed to comply with when they chose to apply for 501(c)(3) tax exemption. It is no secret that churches and so called “Christian” lawyers have also been worried about rule number five, the fundamental public policy rule, for at least 15 or 20 years. Their advice: “pray about it.” I would like to hear one of their prayers. I do not think they will pray, “Lord, forgive us for dishonoring you and causing you much grief by prostituting your churches. We repent. Help us to honorably withdraw from our unholy alliances.”
I have touched on the main issue. Let me restate some of the above points and list some other matters. President Trump’s speeches and his executive order reflect Christian revisionist history. They:
ignore the fact that churches are required to give up some of their First Amendment protections when they choose to become 501(c)(3) organizations who submit to the federal government as to certain matters;
ignore the fact that churches voluntarily put themselves under 501(c)(3) with all the rules and regulations that accompany their choice ;
ignore the fact that churches voluntarily give up much of their First Amendment protection when they place themselves under a law which commands them not to do certain things;
ignore the fact that churches who incorporate and get 501(c)(3) status put themselves, for many purposes, under the Fourteenth Amendment;
do not take into account that 501(c)(3) was a law implemented in 1954, 164 plus years after the adoption of the First Amendment;
ignore the question of whether 501(c)(3) is even constitutional since the First Amendment religion clause says, “Congress shall make no law respecting an establishment of religion or preventing the free exercise thereof;”
reflect a lack of understanding of the true history of the First Amendment;
reflect the “Christian” revised history of the First Amendment;
misrepresent what church/state establishment meant when the Constitution and First Amendment were adopted;
misrepresent what Thomas Jefferson, for example, stood for (He stood for a secular state with complete separation of church and state); (See, Endnote 3 for links to an unrevised history of the First Amendment)
disregard and go contrary to Bible principles concerning church, state, and the relationship God desires between church and state;
ignorantly work for the end-time one world union of church and state under the beast;
etc.
I wish to make one other point: I believe that freeing 501(c)(3) non-profit organizations to become active in politics will unleash liberal 501(c(3) organizations–atheist, secular, and religious–who will fight for liberal candidates, and that those organizations substantially outnumber and have much more money and power than the conservative churches who constantly attack the rule. Those liberal organizations include Planned Parenthood, Inc. (an organization that gets a lot of government money), the Church of Wicca, Inc. and many many other incorporated 501(c)(3) organizations and churches who will support liberal candidates.
In conclusion, I believe that President Trump is sincerely trying to help the cause of religious liberty. But he is being misled by certain religious persons and organizations who will use any means necessary to achieve their goals. Their false Biblical interpretations and goals hasten fulfillment of end time prophecies—religion and government will unify and bring in a 3 ½ year of peace followed by 3 ½ year period of great tribulation, and finally the appearance of our Lord who will crush the world powers who are coming against Israel and then establish His 1000 year reign on the earth.
Notice that the above featured image, taken from IRS publications given below, says, “churches that meet the requirements of § 501(c)(3) are automatically considered tax exempt and are not required to apply for and obtain recognition of tax-exempt status from the IRS.” This is the correct position.
According to 508(c)(1)(A) a church can claim status without filing for 501(c)(3) status. 508(c)(1)(A) is a subsection of §508. Special rules with respect to section501(c)(3) organizations; this alone makes clear that a 508(c)(1)(A) church is a 501(c)(3) church. As such, it is subject to the requirements (the rules and regulations) that come with 501(c)(3). This conclusion is further explained in this article.
Furthermore, according to principles in the Word of God, church tax exempt status is spiritual fornication since she has submitted herself to man’s law, become a temporal legal – as opposed to spiritual eternal only – entity, and chosen to submit to an authority other than the Lord Jesus Christ as to many church matters.
A church can choose to remain under Christ only as a eternal spiritual organism as opposed to a temporal earthy organization. In America, the First Amendment and corresponding state constitutional provisions protect this choice from persecution. The essay below, and other essays, articles, and books on this website explain these matters more comprehensively.
Ignorance, and especially willful ignorance, is no excuse for dishonoring our Lord.
Click the above to go to online version of God Betrayed.
In the book God Betrayed/Separation of Church and State: The Biblical Principles and the American Application (“God Betrayed”) as well as in other books and writings, I originally taught that a New Testament church could depend upon Internal Revenue Code (“IRC”) § 508(c)(1)(A) for her non-taxable status (See Endnote 1for links to the two free versions of God Betrayed or for ordering information should you desire a softback copy as well as information on other books and resources by Jerald Finney.). I was wrong. After years of study, I have learned that a New Testament church cannot depend upon 508(c)(1)(A) for her non-taxable status because, in so doing, the church gives up her New Testament and First Amendment status; the church becomes tax exempt as opposed to non-taxable. However, I am more certain than ever of the correctness of my original biblically based conclusions that a church grieves the Lord when they intentionally, knowingly, recklessly, or negligently attain church corporate and/or 501(c)(3)/508(c)(1)(A) status or legal entity status (See Endnote 1) of any kind. I ask those who have followed my teachings to forgive me for misleading them concerning church 508 status. This brief article explains church 508 status and its effect.
A New Testament Church is also a First Amendment Church. This is because the First Amendment is a law which corresponds with biblical principles to include freedom of religion and conscience (separation of church and state), freedom of speech, freedom of press, and freedom of association. The First Amendment is a part of the second highest law of the land, the United States Constitution.
“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.”
Notice especially that the First Amendment says, “… no law ….”
Are not those words very clear? No law means “no law.” What is IRC § 508(c)(1)(A)? It, like IRC 501(c)(3), is a law made by Congress and signed by the President. IRC § 508(c)(1)(A) and IRC 501(c)(3) are, when applied to churches, laws “respecting an establishment of religion and preventing the free exercise thereof.”
Why would a church take themselves from First Amendment status and protection to either IRC § 508(c)(1)(A) or IRC § 501(c)(3)? One reason is lack of knowledge, wisdom, and understanding. When a church claims either 508(c)(1)(A) or 501(c)(3) status, she has rejected her First Amendment non-taxable status and freely accepted the offer of the federal government to enter into an agreement (contract) for tax exempt status as provided by a law.
Let me repeat: First Amendment churches under God are non-taxable. 501(c)(3) and 508(c)(1)(A) religious organizations are tax exempt. IRC § 508 (the codification of Public Law 91-172 ratified in 1969) provides in relevant part:
A portion of Internal Revenue Code § 508. Click the above to go to § 508.
“§ 508. 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) says churches are excepted from applying for IRC § 501(c)(3) tax exempt status (See Endnote 2for links to articles which fully explain church IRC § 501(c)(3)) status). 508 churches are an exception to the civil government requirement that certain organizations file for 501(c)(3) tax exempt status.
A church should rely on the First Amendment to the United States Constitution, not on508(c)(1)(A) status for three reasons. First, the First Amendment is a statement of the biblical principle of separation of church and state (See, for a short explanation with links to more in depth studies, Is Separation of Church and State Found in the Constitution?). When a church relies on the First Amendment, they are relying on a biblical principle. Should the biblical principle be abused or ignored by the civil government, so be it—a church should then rely and act only on the biblical principle. Endnote 3.
A law of man which enacts some biblical principles.
Second, to rely on 508(c)(1)(A) contradicts the First Amendment. To repeat, the First Amendment religion clause states:
“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.”
IRS Publication 1828. Click the above to go directly to IRS Pub. 1828.
Obviously, 508(C)(1)(A) is a law made by Congress which regards an establishment of religion; 508(C)(1)(A) also prevents the free exercise of religion because a church which claims 508(C)(1)(A) status thereby submits themselves to some control by the federal government in that the church becomes subject to the rules that come with IRC 501(c)(3) status. 508(C)(1)(A) does not state that the First Amendment forbids Congress from making any law in violation of the First Amendment; and that, therefore, a church is non-taxable. 508(C)(1)(A) is a law made by Congress which states that Congress, by law, is declaring an exemption for churches. Thus, by a clear reading of the First Amendment, 508(C)(1)(A) is clearly unconstitutional. Most churches and pastors could care less about this technicality.
From IRS Publication 1828
The correct position which is held by the Internal Revenue Service (“IRS”) is that a church has submitted herself to IRC § 501(c)(3) regulation and ignored her First Amendment status by relying on 508(C)(1) (a law passed by Congress) instead of the First Amendment. The IRS makes this position clear. Page 3 of IRS Publication 1828 states that “churches that meet the requirements of § 501(c)(3) are automatically considered tax exempt and are not required to apply for and obtain recognition of tax-exempt status from the IRS” [Bold red emphasis mine]. The IRS repeats this on page 24 of IRS Publication 557, “Tax –Exempt Status for Your Organization.” Under Organizations Not Required To File Form 1023 churches are listed. The following sentence is included: “These organizations are exempt automatically if they meet the requirements of section 501(c)(3).” [Bold red emphasis added.]
IRS Publication 557, p. 24. Click the image to go directly to the publication.
One should also understand that the New Testament (First Amendment) church will not be involved with the IRS for several reasons: the church claims no 501(c)(3) or 508(c)(1)(A) status; is not a legal entity such as a corporation aggregate or sole, an unincorporated association, or a charitable trust; is not a business; has no income; has no employees or staff; has no constitution or by-laws; and, no matter what the particular civil government does, honors the biblical principle of separation of church and state which is reflected in the First Amendment in America.
The New Testament (First Amendment) church who loves the Lord will be prepared for the eventuality that the Internal Revenue Service, some other Federal agency, the President (recent presidential actions and orders as well as the actions of many prior presidents demonstrate what a tyrannical president can and will do), and/or the Supreme Court of the United States may someday misinterpret and apply the First Amendment; and a New Testament church, who loves the Lord and is committed to pleasing Him, will remain submitted to the higher authority. God Betrayed (see above for free links to the book) explains all this and also shows how churches are operating in America without becoming legal entities such as incorporated 501(c)(3) religious organizations thereby retaining their First Amendment and biblical status. For specifics on how to organize a church under the Bible principle of separation of church and state, one can also go to: The CUCM Bible Trust.
Third, a New Testament church (a church organized according to the principles of the New Testament), among other things, receives no income, is not a 501(c)(3) or 508 religious organization, has no constitution or by-laws, has no employees or staff, and runs no businesses (daycare controlled or licensed by the state, “Christian” schools, “Bible” colleges, seminaries, cafes, etc.). Church members of a New Testament Church give their tithes and offerings to God, not to a religious organization, for use in ways consistent with New Testament teaching. All monies given to God are disbursed in accordance to the guidelines of the New Testament, and no money is left over. Let us use our common sense, if not our biblical sense: Even a business which makes no profit pays no taxes. A church which has no income cannot be taxed. A church which does have net income should be taxed since (1) she is operating as a business and not as a New Testament church; and (2) (if she is a legal entity such as a non-profit corporation (includes corporation sole – see Critique of “Church Freedom and the Corporation Sole” Website), or unincorporated association she is set up as a non-profit religious organization and therefore violates not only biblical principles for the organization of a church but also her non-profit agreements with the state of incorporation by making a profit.
Uncle Sam Wants God’s Churches
If a church does not apply for 501(c)(3) tax exempt status or claim 508(c)(1)(A) tax exempt status, and if she is organized as a New Testament church, according to the First Amendment which agrees with the biblical principle of separation of church and state, the non-taxable status of that church must be honored. A church claims 508(c)(1)(A) status by giving IRS acknowledgements for tithes, offerings, and gifts. No matter what the civil government claims, a church who has no income cannot be taxed; she gives her tithes, offerings, and gifts to God, not to a government created religious organization. Said another way, the church (the members) give to God, not to the church, inc. or the church (an unincorporated association).
Always keep in mind matters which I cover in detail in other writings and teachings: a church who incorporates (non-profit corporation or corporation sole), or becomes a charitable trust, unincorporated association or some other type legal entity has voluntarily given up her exclusive First Amendment status in favor of partial and substantial Fourteenth Amendment status since she has become a legal entity.
There are other ways a church may violate biblical principles concerning the doctrine of the church thereby becoming some type church other than a New Testament church. Understanding these matters requires a believer to grow in knowledge, understanding, and wisdom through dedicated Bible study.
If a church successfully applies for 501(c)(3) status or claims 508(c)(1)(A) exempt status, the government is granted some jurisdiction over the church since the civil government now, by law, declares and grants an exemption.
Please, God’s dear churches, do not lose your New Testament status by becoming a legal entity of any kind. Please learn to love the Lord as he loves you and gave Himself for you;
“That he might sanctify and cleanse it with the washing of water by the word. That he might present it to himself a glorious church, not having spot or wrinkle, or any such thing; but that it should be holy and without blemish” (Ephesians 5.25-27).
Please, dear believer, learn to think Biblically (spiritually), not practically from the human perspective (fleshly). Please become more Christian than American, more heavenly than earthly. God made clear that Christ in heaven is to be the only authority (power or head) “over all things to” His churches. Put another way, a church, the body whose feet walk and work on earth, is to be connected to only one head, Christ in heaven. A church with two heads (authorities or powers) is a monstrosity.
“And what is the exceeding greatness of his power to us-ward who believe, according to the working of his mighty power, Which he wrought in Christ, when he raised him from the dead, and set him at his own right hand in the heavenly places, Far above all principality, and power, and might, and dominion, and every name that is named, not only in this world, but also in that which is to come: And hath put all things under his feet, and gave him to be the head over all things to the church, Which is his body, the fulness of him that filleth all in all” (Ep. 1.19-23).
“Now therefore ye are no more strangers and foreigners, but fellowcitizens with the saints, and of the household of God; And are built upon the foundation of the apostles and prophets, Jesus Christ himself being the chief corner stone; In whom all the building fitly framed together groweth unto an holy temple in the Lord: In whom ye also are builded together for an habitation of God through the Spirit” (Ep. 2.19-23).
“And he is the head of the body, the church: who is the beginning, the firstborn from the dead; that in all things he might have the preeminence” (Col. 1.18).
From the above verses, and many more that could be quoted, one sees that God desires his churches to be spiritual entities or bodies (See also, e.g., Ep. 4 and the whole book of Ep., Col., and 1 Co. 12 for more on churches as spiritual bodies) connected to their only God ordained Head, the Lord Jesus Christ in heaven, while walking as spiritual entities only here on the earth. Churches are to be “builded together for an habitation of God through the Spirit,” not built together as a corporate 501(c)(3) or 508 organization according to man’s earthly, legal laws.
Please repent and turn from the deceits of the god of this world to the precepts of God. Please prepare for the day when believers and churches will have to choose either to lay it all down for God and for eternal reward or to lay it all up for Satan for a perceived earthly security. That day has not yet arrived for believers and churches in America, but that day appears to be fast approaching.
Endnotes
1. For the definition of and more information on “legal entity” see the index of God Betrayed/Separation of Church and State:The Biblical Principles and the American Applicationwhich is available free in PDF, in online form (no index), or which may be ordered by clicking Order information for books by Jerald Finney.
All books, except An Abridged History of the First Amendment, by Jerald Finney are available free in both PDF and online form. One may go to Order information for books by Jerald Finney should he desire to order any of the books which are in print.
Click here to go to the article “Is Separation of Church and State Found in the Constitution?”
A biblical and historical Baptist principle is that God desires separation of church and state, not separation of God and church or separation of God and state. Study Jerald Finney’s writings and/or audio teachings to discover the truth about and how to apply the principle. Finney’s teachings prove that the revisionist view of Separation of Church and State accepted without examination by most American “Christians” is false and has done great damage to the cause of Christ and to America.
The local church sanctified and cleansed by the washing of water by the word——————–A ministry of Charity Baptist Tabernacle of Amarillo, Texas led by Pastor Ben Hickam. "Would to God ye could bear with me a little in my folly: and indeed bear with me. For I am jealous over you with godly jealousy: for I have espoused you to one husband, that I may present you as a chaste virgin to Christ. But I fear, lest by any means, as the serpent beguiled Eve through his subtilty, so your minds should be corrupted from the simplicity that is in Christ" (2 Corinthians 11:1-3). ————————————Jerald Finney, a Christian Lawyer and member of Charity Baptist Tabernacle, having received this ministry in the Lord, explains how a church in America can remain under the Lord Jesus Christ and Him only. "As every man hath received the gift, even so minister the same one to another, as good stewards of the manifold grace of God. If any man speak, let him speak as the oracles of God; if any man minister, let him do it as of the ability which God giveth: that God in all things may be glorified through Jesus Christ, to whom be praise and dominion for ever and ever. Amen" (1 Peter 4:10-11; See also, Ephesians 4::1-16 and 1 Corinthians 12:1-25). "Take heed to the ministry which thou hast received in the Lord, that thou fulfil it" (Colossians 4:17). "And hath put all things under his feet, and gave him to be the head over all things to the church" (Ephesians 1.22; See also, e.g. Colossians 1:18).
Simply Church 