Did you know that you are liable for Church
legal violations occurring in your Church Financial Records?
One person must bear the responsibility for acts carried out in the name
of a church. Under what is called the "Responsible Party Provisions",
you, as the Pastor, could face criminal prosecution for what your Church
Treasurer, Board Members or others do without your knowledge. The IRS
does not accept ignorance as an excuse.
Churches MUST report Evangelists' offerings!
Failure to file proper IRS forms for offerings given to guest speakers,
Evangelists, professional singers, independent contractors and others
could make your church liable for prosecution and fines up to $100,000
or more.
One church was fined $16,000 for failure to issue 1099s and for failure
to secure the social security numbers of those individuals performing
a service.
(Treas. Reg. 1.162-5 Coughlin vs. Commissioner
203 F2d 307)
