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The tax status of the Church of Scientology in the United States has been the subject of decades of controversy and litigation. Although the Church of Scientology was initially partially exempted by the Internal Revenue Service (IRS) from paying federal income tax, its two principal entities in the United States lost this exemption in 1957 and 1968.
The Church charges for those services due to the belief that, any time a person receives something, that person must pay something back in return. [4] The income generated by those services constitutes the Church's primary source of income. [4] The taxpayers made payments to branch churches in exchange for auditing or training services.
Such activities distinguish Scientology from other religious organizations. The Church pays 10% commissions to recruiters, called Field Staff Members (FSMs), on new recruits they bring in who take a course or receive counseling. [4] [5] In addition, Church of Scientology franchises/missions, pay the Church roughly 10% of their gross income. [6]
The church appears to have intended to blackmail the IRS; [22]: 123 the operation envisaged the church pretending that it had received the stolen tax records from a whistleblower and threatening to release them to create what the plans described as "an additional pressure on [the IRS] to finish the audit [of Scientology tax matters] favorably".
More than 169 million payments worth about $400 billion have been sent out by the IRS since Congress passed the American Rescue Plan stimulus relief bill in March. See: Fourth Stimulus Checks ...
The IRS relaunched a Get My Payment portal for Americans to check the status of their second stimulus checks. Direct deposit of some payments began before the new year, but others have yet to ...
In 1984, the Church of Scientology was staring at an almost billion dollar tax bill from the IRS, [11] and a $39 million judgment from a lawsuit in Oregon. Fearing a seizure of bank accounts, Scientology created the International Association of Scientologists.
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