[Code of Federal Regulations]
[Title 26, Volume 12]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR1.1402(e)-2A]

[Page 37-39]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 1--INCOME TAXES--Table of Contents
 
Sec. 1.1402(e)-2A  Ministers, members of religious orders and Christian Science practitioners; application for exemption from self-employment tax.

    (a) In general. (1) Subject to the limitations set forth in 
subparagraphs (2) and (3) of this paragraph, any individual who is (i) a 
duly ordained, commissioned, or licensed minister of a church or a 
member of a religious order (other than a member of a religious order 
who has taken a vow of poverty as a member of such order) or (ii) a 
Christian Science practitioner may request an exemption from the tax on 
self-employment income (see section 1401 and Sec. 1.1401-1) with respect 
to services performed by him in his capacity

[[Page 38]]

as a minister or member, or as a Christian Science practitioner, as the 
case may be. Such a request shall be made by filing an application for 
exemption on Form 4361 in the manner provided in paragraph (b) of this 
section and within the time specified in Sec. 1.1402(e)-3A. For 
provisions relating to the taxable year or years for which an exemption 
from the tax on self-employment income with respect to service performed 
by a minister or member or a Christian Science practitioner in his 
capacity as such is effective, see Sec. 1.1402(e)-4A. For additional 
provisions applicable to services performed by individuals referred to 
in this subparagraph, see paragraph (e) of Sec. 1.1402(c)-3 and 
Sec. 1.1402(c)-5 relating to ministers and members of religious orders, 
and paragraphs (a)(3)(ii) and (b) of Sec. 1.1402(c)-6 relating to 
Christian Science practitioners.
    (2) The application for exemption shall contain, or there shall be 
filed with such application, a statement to the effect that the 
individual making application for exemption is conscientiously opposed 
to, or because of religious principles is opposed to, the acceptance 
(with respect to services performed by him in his capacity as a 
minister, member, or Christian Science practitioner) of any public 
insurance which makes payments in the event of death, disability, old 
age, or retirement or makes payments toward the cost of, or provides 
services for, medical care (including the benefits of any insurance 
system established by the Social Security Act). Thus, ministers, members 
of religious orders, and Christian Science practitioners requesting 
exemption from social security coverage must meet either of two 
alternative tests: (1) A religious principles test which refers to the 
institutional principles and discipline of the particular religious 
denomination to which he belongs, or (2) a conscientious opposition test 
which refers to the opposition because of religious considerations of 
individual ministers, members of religious orders, and Christian Science 
practitioners (rather than opposition based upon the general conscience 
of any such individual or individuals). The term ``public insurance'', 
as used in section 1402(e) and this paragraph, refers to governmental, 
as distinguished from private, insurance and does not include insurance 
carried with a commercial insurance carrier. To be eligible to file an 
application for exemption on Form 4361, a minister, member, or Christian 
Science practitioners need not be opposed to the acceptance of all 
public insurance making payments of this specified type; he must, 
however, be opposed on religious grounds to the acceptance of any such 
payment which, in whole or in part, is based on, or measured by earnings 
from, services performed by in his capacity as a minister or member (see 
Sec. 1.1402(c)-5) or in his capacity as a Christian Science practitioner 
(see paragraph (b)(2) of Sec. 1.1402(c)-6). For example, a minister 
performing service in the exercise of his ministry may be eligible to 
file an application for exemption on Form 4361 even though he is not 
opposed to the acceptance of benefits under the Social Security Act with 
respect to service performed by him which is not in the exercise of his 
ministry.
    (3) An exemption from the tax imposed on self-employment income with 
respect to service performed by a minister, member, or Christian Science 
practitioner in his capacity as such may not be granted to a minister, 
member, or practitioner who (in accordance with the provisions of 
section 1402(e) as in effect prior to amendment by section 115(b)(2) of 
the Social Security Amendments of 1967 (81 Stat. 839)) filed a valid 
waiver certificate on Form 2031 electing to have the Federal old-age, 
survivors, and disability insurance system establish by title II of the 
Social Security Act extended to service performed by him in the exercise 
of his ministry or in the exercise of duties required by the order of 
which he is a member, or in the exercise of his profession as a 
Christian Science practitioner. For provisions relating to waiver 
certificates on Form 2031, see Secs. 1.1402(e)(1)-1 through 
1.1402(e)(6)-1.
    (b) Application for exemption. An application for exemption on Form 
4361 shall be filed in triplicate with the internal revenue officer or 
the internal revenue office, as the case may be, designated in the 
instructions relating to

[[Page 39]]

the application for exemption. The application for exemption must be 
filed within the time prescribed in Sec. 1.1402(e)-3A. If the last 
original Federal income tax return of an individual to whom paragraph 
(a) of this section applies which was filed before the expiration of 
such time limitation for filing an application for exemption shows no 
liability for tax on self-employment income, such return will be treated 
as an application for exemption, provided that before February 28, 1975 
such individual also files a properly executed Form 4361.
    (c) Approval of application for exemption. The filing of an 
application for exemption on Form 4361 by a minister, a member of a 
religious order, or a Christian Science practitioner does not constitute 
an exemption from the tax on self-employment income with respect to 
services performed by him in his capacity as a minister, member, or 
practitioner. The exemption is granted only if the application is 
approved by an appropriate internal revenue officer. See Sec. 1.1402(e)-
4A relating to the period for which an exemption is effective.

[T.D. 7333, 39 FR 44448, Dec. 24, 1974; 39 FR 45216, Dec. 31, 1974]