05-12-2011, 12:32 AM
Grace62 wrote:
The reason that churches aren't taxed is based on the constitutionally protected freedom of religion. The founders believed that churches could not survive if they were taxed, and the gov't intentionally causing them not to survive would in effect be depriving citizens of their freedom to practice religion.
I think it's important to note that legal tax exemptions for religious institutions came into existence in the U.S. in the last decade of the 19th century, quite a long while after the founders had left the scene. The SCotUS has also rejected, time and again, churches' claims that they have a constitutional right to tax exemption, which is why tax exempt status can be revoked fairly simply. The most common justification for tax exemption for religious organizations is the 'public benefit' rationale, which applies equally to churches and non-religious charities. Although pluralism is also used to defend tax exemption (i.e., it's better for the country to have more social and cultural organizations, including churches), this justification is also not restricted to religious groups.
Tax exemption for religious groups has broadly been ruled to be in accordance with the Constitution, but is absolutely not required by it.