Clergy Act
Description
This bill would allow clergy members to revoke their exemption from Social Security and Medicare taxes during a two-year window.
Summary
What it does
This bill would establish a two-year period during which members of the clergy and Christian Science practitioners could revoke a previous exemption from Social Security and Medicare taxes on their ministerial earnings. Under current law, these individuals may receive an irrevocable exemption based on religious or conscientious objections, which prevents them from receiving related benefits unless they earn credits through other employment. The proposal would also require the Internal Revenue Service to create a plan to notify eligible individuals about this opportunity to opt back into the public insurance programs.
Who is affected
This bill affects members of the clergy and Christian Science practitioners who previously obtained an exemption from Social Security and Medicare taxes on their ministerial earnings. The Internal Revenue Service (IRS) is also affected, as it is required to develop a plan to notify these individuals of their eligibility to revoke their exemptions. Additionally, the bill impacts those who choose to revoke their exemption by allowing them to contribute to and eventually receive benefits from the Social Security and Medicare programs.
Key provisions
- Revocation of Social Security and Medicare tax exemptions. The bill creates a two-year window allowing members of the clergy and Christian Science practitioners to revoke their existing exemptions from Social Security and Medicare taxes on ministerial earnings.
- IRS outreach and notification plan. The Internal Revenue Service is required to develop a plan to inform eligible individuals of their opportunity to revoke prior exemptions under the provisions of this bill.
Fiscal impact
- H.R. 227, Clergy Act· As reported by the House Committee on Ways and Means on January 7, 2026
Effective dates
The bill establishes a two-year window during which eligible members of the clergy and Christian Science practitioners may revoke their existing exemptions from Social Security and Medicare taxes.
Relationship to existing law
This bill modifies existing Internal Revenue Service (IRS) regulations that currently make exemptions from Social Security and Medicare taxes for clergy and Christian Science practitioners irrevocable. It establishes a temporary two-year window to allow these individuals to revoke those prior exemptions and begin participating in the public insurance programs.
Stated purpose
The bill aims to provide a temporary two-year period for members of the clergy and Christian Science practitioners to revoke existing exemptions from Social Security and Medicare taxes on their ministerial earnings. It also requires the Internal Revenue Service to notify eligible individuals of this opportunity to opt back into these public insurance programs.