Praise the Lord

Short Sellers, Moms, Son of God, all Credited with Encouraging PwC’s Vigorous Audit of Herbalife

For an analyst, it doesn't seem this guy understands how audits work: In the wake of Herbalife's clean bill of health from its new auditors, one of the company’s most bullish analysts is taking a victory lap. “We’d like to thank Mom, Jesus, and the short sellers,” D.A. Davidson analyst Tim Ramey wrote to clients […]

Despite What the IRS Says, This Guy Needs Your Help Raising $2 Million

Hinn says he accumulated the deficit in the past few months because offerings at some international appearances did not cover expenses.

Hinn’s reputation as an advocate of prosperity gospel has attracted millions of followers but has also drawn criticism from lawmakers and watchdog groups.

He is one of six televangelists who have been targeted by federal lawmakers investigating compliance with IRS rules for nonprofits.

Hinn has said on his website that external auditors ensure his compliance with IRS regulations and that in 2008, 88 percent of the money he collected was spent on ministry.

For starters, can someone tell the Hinnmeister that external auditors’ word doesn’t mean shit? Second, try shopping for your clothes somewhere other than the David Copperfield consignment store and maybe you won’t have trouble covering your expenses.

Televangelist Benny Hinn asks for $2M in donations [AP]

Hallelujah! Church Accounting Miracles!

I had no idea how much a minister can make but now I do. Wait a minute, this just tells me how to bypass Service rules by writing checks in the church’s name. I might totally be in the wrong line of work.

Free Church Accounting (I’m not kidding) brings us a question from “Sharon” of Corsicana, Texas:

How much money does a minister have to make in order for money to be reported?

I started my church back up after 12 years vacancy. I do not have very many members. Right now we are 3 active members and other people stop in from time to time. I do not actually receive money. Since the church is striving I use the money to pay the light bill, get the grass moved.


Answer:

According to the IRS website, “Earnings of $400 or more are subject to self-employment taxes.” (that includes qualifying ministers)

If you are a church employee, income of $108.28 or more is subject to SE tax.

It would be better for you, if you opened a checking account in the church’s name and paid expenses out of it. If that’s not possible, just make sure and keep all of the receipts that show where the church funds are going.

Fascinating! I took the preliminary “Are You a Tax-Exempt Church” quiz on their website and failed miserably so I guess I’d make an awful 501(c)(3) but that’s probably for the best.

There are ways to fail at this of course, like the Spokane, WA priest who couldn’t keep his arms and legs (and other parts) inside of the vehicle at all times, financial mismanagement in the University of North Carolina system, and JDA favorite the University of Colorado’s wild credit card user with horrible hair.

I would never imply that more regulation is the answer; I’m merely pointing out that there’s a bit of work to be done in identifying non-profit fraud. Seriously, how can one detect fraud when the core basis of fund accounting is an imbalance between “expenses” and expenditures?

The Church of Jr Deputy Accountant Scientist? I’m down.