To Defer or Not to Defer—Payroll Taxes

With the recent issuance of a presidential memo directing the Secretary of the Treasury to delay due dates for the collection of payroll taxes, some churches/ministers have asked the question of whether it would be a good thing to do. Unless Congress acts to “forgive” the non-payment, taxes that would be deferred from September 1 through the end of 2020 would be due on April 15, 2021 (along with taxes for the first quarter of 2021).

The Church of the Nazarene has taken no official position on this matter, but in the interest of enabling persons to make better informed decisions, we are providing several links for more information on the subject:

  • IRS Notice 2020-65 on the deferral
  • Key things workers should know about the deferment from CNBC
  • Guidance paper, prepared for UMC churches of the Great Plains Conference (Kansas and Nebraska) by conference treasurer Scott Brewer
  • An analysis of the deferral by Edward S. Karl of the American Institute of CPAs