August 23, 2010

Church Support of a Missionary with No Mission Agency


A church provides direct support to a missionary -- both through the church budget and from additional contributions received designated to his ministry. What reporting requirements does the church have?


Since the church disburses directly to the missionary, it should issue Form 1099-MISC. If it wishes, the church can establish arrangements, for example, to reimburse documented business expenses and to designate a portion of the support toward housing. Absent these provisions, the entire amount should be reported annually on Form 1099-MISC.

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