Be it known that World Bible Way Fellowship, Inc. (WBWF) is not qualified to provide tax advise. The following is our understanding of how the IRS currently views the 501c3 coverage. Note that all IRS regulations are subject to change without notice. Please do your own due diligence to be sure.
World Bible Way Fellowship, Inc. headquartered at 4900 FM 128, Ben Franklin, Texas 75415 (P O Box 506) is recognized as exempt from federal income tax. This organization is currently exempt under section 501c3 of the IRS code under its Employee Identification Number (EIN).
The IRs recognizes the subordinates of the WBWF as exempt from federal income tax under section 501c3 of the code, even though they are not listed separately.
IRS records indicate that contributions to the WBWF organization and its subordinates are deductible under section 170 of the code, and are qualified to receive tax deductible bequests, devises, transfers or gifts under section 2055, 2106 or 2522 of the IRS code. The covering is provided by the IRS Group Exemption Number.
This covering, or umbrella, keeps other non-profits (entities, not individuals) from having to file federal income taxes. The umbrella provides exemption without the ministry having to obtain its own 501c3 which can be costly. With regards to the IRS, it is better for a small ministry to be part of an organization recognized by the IRS.
State sales tax exemption is different for each state. Generally, each church or ministry has to file for exemption themselves if they want to be exempt from sales tax. Churches don’t generally need sales tax exemption. A church’s coverage under the umbrella makes them qualified to receive donations/contributions and issue receipts for a tax deduction. Non church ministries usually need legal work to qualify for state tax exemptions and/or federal exemption.
In order for a church or ministry to obtain coverage under the WBWF umbrella, the president/founder/pastor must be an active member in good standing with the fellowship. The church/ministry can only be affiliated with this fellowship if the minister meets the above requirements. This means that if the minister fails to renew each year and therefore becomes inactive, the church/ministry is not renewed and therefore is no longer covered by the WBWF umbrella.
The application process for a church/ministry to become affiliated with WBWF is separate from the minister application. There is a one-time fee of $200 involved with the initial application. However, each subsequent year the church/ministry will renew automatically when the minister of the church/ministry renews their credentials.
Please note that no member or subordinate organization may use the WBWF EIN# or any purpose including, but not limited to, banking. Each member church/ministry must supply their individual EIN# from the IRS by filing form SS-4 at IRS.GOV.
