Rev. Rul. 80-59

1980-1 C.B. 191, 1980-9 I.R.B. 18.

                       Internal Revenue Service
                                 Revenue Ruling

           SOCIAL SECURITY COVERAGE; EXEMPTION FOR RELIGIOUS REASONS

                            Published: March 3, 1980

26 CFR 1.1402(e)-2A; Ministers, member of religious orders and Christian Science practitioners; applicaiton for exemption from self-employment tax.

  Social security coverage; exemption for religious reasons. The church referred to in Form 4361, Application for Exemption from Self-Employment Tax for Use by Ministers, Members of Religious Orders and Christian Science Practitioners, must be the church that ordained, commissioned, or licensed the minister who is applying for the exemption and must be a church described in sectin 170(b)(1)(A)(i) of the Code; Rev. Rul. 76-415 clarified.

FACTS

  Rev. Rul. 76-415, 1976-2 C.B. 255, holds that for the purpose of filing Form 4361, Application for Exemption from Self-Employment Tax for Use by Ministers, Members of Religious Orders and Christian Science Practitioners, an ordained, commissioned or licensed minister of a church is eligible to exercise the election contained in section 1402(e) of the Internal Revenue Code only if the minister is able to establish that the church qualifies as an organization exempt from income tax under section 501(a) as a religious organization described in section 501(c)(3).

HOLDING

  The church referred to in the Form 4361 must be the church that ordained, commissioned, or licensed the minister.  In addition to establishing that the church qualifies as being exempt from income tax under section 501(a) of the Code as a religious organization described in section 501(c)(3), the minister must also establish that the church (or convention or association of churches) is one described in section 170(b)(1)(A)(i).

EFFECT ON OTHER REVENUE RULINGS

  Rev. Rul. 76-415 is clarified.

Rev. Rul. 80-59, 1980-1 C.B. 191, 1980-9 I.R.B. 18.