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Thanks Larry for posting your comments and emphasizing some Canadian nuances that may prohibit a Canadian church to directly manage an overseas ministry.  All churches should consult their registration documents and ensure compliance with government requirements in terms of both soliciting charitable donations and disbursing monies.  Church partnerships with our denomination's overseas mission agencies is an excellent way to avoid some of these administrative / legal headaches.

Since he is not currently working with an organization that has a USA partner, you need to either find a USA 501(c)3 charity to partner with or your church will need to provide direct oversight.  I suggest searching the web for Baptist-affiliated charities that work in East Africa.  If you are unable to have a suitable USA charitable organization partner, your church will need to evaluate whether they have the capacity to provide sufficient oversight should they decide to support this Kenya church planter.  In my opinion this oversight would include having authorized members of your church meet regularly to review ministry plans, approve budgets, and receive regular financial statements & progress reports about the supported ministry.  I also recommend your church planter identify an appropriate ministry partner in Kenya that could serve as fiscal agent - facilitating the transfer of funds, reviewing & approving properly supported expense reimbursements, and making sure there is compliance with local Kenya laws and tax reporting.

Thanks Bill for your comments and especially for your church's generous support of these various missionaries.

Thanks so much for your responses and sharing how this issue applies within the Canadian context.  The web link to CRA guidelines is most helpful.  It is nice to see there is some common logic shared by both Canada and USA tax authorities as it pertains to the criteria for classifying paid staff between employees and independent contractors.  The US Internal Revenue Service also offers the option to solicit a determination by filing form SS-8.  The US government web link to this form is http://www.irs.gov/pub/irs-pdf/fss8.pdf .  However, the USA Internal Revenue Service makes no promises for providing a timely determination.

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