A POINT or two. Many not-for-profit and charity groups do not pay income tax and can claim their GST back.
Most companies and businesses can claim input tax credits.
If they did not then an item might have five lots or more of GST added on its journey to the customer.
Companies can offset expenses and losses against tax. Churches cannot do this.
Companies make profits. Churches are a not-for-profit/charity organisation.
Churches serve the community. Meals and food parcels and accommodation; assistance with numerous other issues.
The local churches in Bundaberg put in millions of dollars worth of aid in finance and in-kind support to the community continually.
All this due to the generous giving of the church attendees.
No one is forced to give to the church, contrary to some lies propagated by opponents.
If you taxed the church let me remind you of the results.
As a normal company, churches could claim numerous deductions which they cannot do at this time.
They would still not make a profit so there would be no tax payable anyway.
Lots of work for no return but increased costs therefore reducing the charitable works that the churches do for free that the government cannot afford to do.
So if you are happy to pay more personal income tax to pay someone to do the work churches do in and for the community for free, go ahead.
That is why churches are not taxed.
PASTOR ERROL BUCKLE
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