How will the stimulus package (CARES Act) apply to churches?

According to GuideStone®, the COVID-19 Pandemic Phase III Stimulus Package is set to provide potential relief for ministries and pastors.

Pastors will be eligible to receive a rebate up to $1,200 ($2,400 for a married couple), plus $500 per child. Those amounts are reduced for certain higher-income taxpayers. Additionally, unemployment benefits, usually not available to church or ministry employees, may be available under certain circumstances.

The Question-and-Answer document offered here contains general information on the new law. The answers are based on GuideStone®’s legal review of the statute and in many areas, additional guidance from the IRS or other administrative agencies may cause these answers to change in the future. Since every taxpayer’s situation is unique, it is recommended that individuals consult with an accountant or attorney familiar with the unique tax status of ministers before taking action.

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