While setting up tax-exempt accounts with vendors or funneling purchases through a central administrator are the most common strategies, there are a couple of alternative approaches that might help streamline the process.
- Standardized Tax Exemption Packet--Create a simple "tax-exempt packet" for committee members to carry when making purchases. This packet would include:
- A copy of your church's tax exemption certificate.
- A brief letter of authorization from the church
- Guidelines on what qualifies as a tax-exempt purchase
This allows members to present documentation at point of sale without needing to set up an account ahead of time.
- 2. Online Purchasing through a Central Account: For items that can be ordered online, having one central Amazon Business or similar account tied to your exemption certificate can help keep purchases tax-free and trackable, even across different committees.
Hope this helps! Let me know if you have any other questions or if I can be of service in any way!
Pam Palmer
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Pam Palmer
LCMS
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Original Message:
Sent: 04-11-2025 02:22 PM
From: Gordon Soderlund
Subject: Introduction--Tax Resource
Pam, thanks for introducing yourself. I've just started exploring how, as a church, we can avoid paying sales tax for the items our church members buy for their respective committees. Short of establishing tax exempt accounts with every vendor before a transaction, or funneling all spending requests through our admin assistant or financial secretary, I'm hoping you might have a more efficient idea on how to limit our sales tax exposure. Thank you!
Blessings,
Gordon Soderlund
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Gordon Soderlund
Epiphany Lutheran Church
Original Message:
Sent: 01-24-2024 03:13 PM
From: Pam Palmer
Subject: Introduction--Tax Resource
Hello everyone! My name is Pam Palmer and I serve as the Director of Tax and Compliance for the LCMS. I would be happy to answer any questions you may have about taxes--especially clergy tax. Please feel free to reach out to me via Shareboard, email at pam.palmer@lcms.org or 314-996-1441. Thank you!
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Pam Palmer
LCMS
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