While teaching a Church and Clergy Tax Conference in New Jersey, I was shocked when a lady approached me during the morning break. Her son was an employee of the IRS and told her to resign her position as Church bookkeeper. She told me she could not understand why he would adamantly insist she did, until she came to our seminar.
She realized how non-compliant her Church was with existing IRS regulations. She resigned during the break.
What really got my attention was the statement she told me. She relayed to me that her IRS employee son, had told her the IRS had hired thousands of new agents to target Churches, including hiring many to attend Church services as “spotters” to determine what violations Churches were committing. She said this would then trigger an audit from the Internal Revenue.
In addition to auditing Churches, the IRS has garnered support from a recently signed Transportation Bill which would allow the IRS expansive power to collect any taxes and penalties which were owed to the Federal Government.