The Social Security Amendments of 1967 provided for the compulsory coverage of ministerial
earnings derived after 1967 unless an exemption from coverage is granted.
To obtain an exemption from coverage, clergy or members must file an IRS Form 4361
(Application for Exemption from Self-Employment Tax for Use by Ministers, Members
of Religious Orders and Christian Science Practitioners) with the Internal Revenue
Service (IRS) stating that they are opposed to the acceptance of public insurance,
as provided by the Social Security Act. Form 4361 must be filed on or before whichever
of the following dates is later: (1) April 15, 1970; or (2) the due date of the applicant's
tax return for the second taxable year that they had net earnings from self-employment
of $400.00 or more, a part of which was derived from the exercise of their ministry.
Approval of their application exempts them from paying self-employment tax on ministerial
earnings and from obtaining Social Security coverage for such earnings. The coverage
of earnings derived from other sources remains contingent upon existing coverage provisions.
Clergy or members who filed a valid IRS Form 2031 Revocation of Exemption From Self-Employment
Tax for Use by Ministers, Members of Religious Orders, and Christian Science Practitioners
(formerly titled, Waiver Certificate for Use by Ministers, Certain Members of Religious
Orders and Christian Science Practitioners) electing Social Security coverage for
any year prior to 1968 cannot now file Form 4361 to obtain an exemption.