Originally posted by gb93433:
</font><blockquote>quote:</font><hr />Originally posted by church mouse guy:
A church does not have to ask for a tax exemption. The US Constitution says that Congress can pass no law preventing the free exercise of religion.
A church can say whatever it likes in the pulpit. The government cannot regulate preaching for any reason, nor can the government legally tax a church. That would, as you can see, limit the free exercise of religion.
The whole purpose as I understand it of 501(c)(3) was to limit the liability of a church and its members. I do know of a church that disbanded that was not incorporated all because of one non-believer who sued them. He took everything they had. Literally everything. The church was doing well until that point.
Plus try and get insurance and very few insurance companies will insure you. </font>[/QUOTE]gb, I will attempt to explain in my limited ability the crux of the issue that you raised. "nor can the government legally tax a church"..You are right. The fundamental problem of exemption is that in applying for an exemption, a church is saying, "I agree with your right to tax us so we want to have your grace not to be taxed" We aquiesse (sp) the right to not be taxed and trade it for the privilege of not being taxed, (opening the door for the nose of the camel). Once the camel puts it's nose in the tent watch out she's a comin' on in sooner or later!
Your understanding of a C-3 being a "vehicle" to limit liability is correct. That is exactly what all the old time preachers thought was so great. They never dreamed in a million years that by the time that 1990 rolled around that one of the number one things taught at the Indiana University School of Law was how to break up the limited liability of corporations. Secondly and truthfully, if you have raised children and taught them right which I have all faith that you have...you have taught them to be fully responsible for their actions and decisions in life....at no time did you teach them
LIMITED LIABILITY. If you did, you did not teach them according to the Scriptures because the Book that I have requires accountability. I am not saying that this is an easy way. I am not saying that this is a "winning" position. I am not trying to win. I am just saying it is the right position.
You gave us a nebulous example of a church somewhere pastored by somebody who was not a C-3 and lost everything. Maybe they were wrong and it was a righteous thing that God allowed. We don't know the facts. Maybe the pastor was young and inexperienced. Maybe the forces of DARKNESS won out on that battle, we don't know. We know this if they were right with God and were serving Him faithfully the Devil is going to charge them with all fervor.
As far as the insurance.....I can give you enough companies that will insure a church without the C-3 to take care of anyone who needs it.
Thanks ------Bart