- 5 - granted petitioner's application for exemption from self- employment tax. Included with petitioners' Federal income tax return for each year in issue is a Schedule C on which petitioners reported the earnings and expenses attributable to petitioner's ministry as follows: 1987 1988 1989 Gross receipts $12,150 $13,783 $19,400 Car & truck exp. 4,511 4,786 4,993 Educ. exp. 1,523 440 -0- Net profit 6,116 8,557 14,407 Petitioners did not treat the net profit for any year as net earnings from self-employment. In the notice of deficiency, respondent determined that the services that petitioner provided as a minister during each year in issue were provided as an employee of the Church and that the income and expenses attributable to those services must be reported accordingly. Respondent also determined that the income that petitioner earned as a minister was subject to the tax on self-employment income. Other adjustments made in the notice of deficiency are not in dispute. OPINION Although petitioner's employment status as a Methodist minister was at one time in dispute, the parties now agree that the services that petitioner performed as a minister during thePage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 Next
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