KY Judge OKs Tax Breaks for Clergy and Churches; Atheists Argued Tax Laws Favor Churches, Pastors

A Kentucky judge has struck down an atheist challenge to tax benefits for clergy and churches, the Christian Headlines website reports today (May 24, 2014).

Three groups -- American Atheists, Atheists of Northern Indiana, and Atheist Archives of Kentucky -- argued that the current tax code provisions unfairly favor churches and pastors.

Among the ecclesiastical benefits challenged in the lawsuit were: The church exemption from the requirement to file applications for recognition of tax-exempt status (Form 1023); the church exemption from filing annual information returns (Form 990); the clergy housing exclusion; and the exemption from income tax withholding and FICA taxes for ministers.

The atheist groups have not applied for religious exemptions. "At this point, the atheists have no idea whether they could gain classification as a church or religious organization ...because they have never sought such classification," Judge William Bertelsman said.