By Madison S. Hughes (02.25.2011)

Abstract

It is time; nay it is long past time, to revoke the religious tax exemption. Granted, this proposition may instantly be viewed as yet another untouchable “third-rail” of politics; however, there are numerous economic arguments to be made against continuing this exemption. Past arguments against the religious tax exemption have largely fallen on deaf ears. Changing conditions, especially economic conditions, can place old arguments in a new light. The current government-funding crisis—at all governmental levels—is sufficiently dire, and it is long past time for a call to revoke the religious tax exemption. This paper will demonstrate that the religious tax exemption is responsible for considerable revenue loss, and has a negative impact on: school funding, public library funding, revenue generation, the U.S. Federal Budget Deficit, fairness, and equity. Additionally, the tax exemption: is not transparent, lends to corruption, does not hold persons or religious organizations accountable for corruption, and, therefore warrants a call to revoke the religious tax exemption.

Keywords: church, religious organizations, revocation of religious tax exemption Continue reading →