The Painful Truth About The Worldwide Church of God
Tax Exempt?
By JohnO

"And remember friends, your tax deductible tithes and offerings will go a long way to helping this ministry spread the gospel message. Please send your generous tax deductible gift, either by your check or credit card, or call the number at the bottom of your screen and pledge your commitment with a Visa or MasterCard. And remember, your liberal contribution will save souls for the Lord, and it's all tax deductible."

We all know the story. We've heard this nauseating, televangelistic money plea so often in recent years. But, in one way, Herbie was smart. He never asked openly on the media for any contributions, but he did privately ask all the members and co-workers. And he always made a point of inserting into the message, in most cases, that this offering was tax deductible. In fact, many members used to chat about the tax return money they'd get as a result of tithing and giving offerings.

It's a known axiom that you don't have to ask for money if you don't need it. As an example, the same applies for promo advertising. Rolls Royce has no problems in selling every car they manufacture. And how many ads have we seen for Rolls Royce? The bottom line here is that Rolls Royce doesn't need to advertise. In the same way, if "God" is really behind some ministry or other, then those pitchmen/spokesmen don't need to ask for money - do they?

Again, as stated in previous articles, this is not a downer of any legitimate charity, homeless mission, or any humanitarian work. There are sincere people who are in charge of such good charities and take little for themselves to survive. The bulk of their corporate income goes to feed, clothe and shelter the poor, the homeless, and the starving children.

This article addresses the greed of the cultmasters (especially the Worldwide Church of God and Worldwide Church of God+ offspring), as they oppress the ignorant members with the necessity of tithing to them, a law that was (according to the Bible) made obsolete some 2000 years ago. You don't see these cultmasters selling their luxury homes for sake of the work, and you don't see them emptying their well-heeled bank accounts or driving ten year old VW's.

As also stated in previous articles, the reason for these church organizations in obtaining a tax exempt status is NOT to benefit the membership. Although the members do get a deduction, and sometimes a generous tax return, the prime purpose for obtaining such an exemption is for a much different reason. It is primarily to benefit the corporations themselves, and any membership benefits are purely secondary.

When a corporation applies for a tax exempt status (See IRS Publication #557, and Section #501 (a) of the IRS Code. Please note Section #501 (d) - pages 21-22 of the IRS Code regarding Church and Religious organizations), then this corporation claims it's forming an organization for humanitarian purposes. As such, according to the law of the land, it can then be classified as "tax-exempt." Since there is the separation of Church and State, the latter does not (except in extreme cases) interfere with the former in the manner of the charitable or church's financial accountability. In fact, the State issues a waiver of a "Big Brother" audit, and allows the tax exempt corporation to be trusted with "doing the right thing."

The State, historically, doesn't like to involve itself with auditing churches, as this would look too much like a government that's not sympathetic with the religious beliefs of its constituents, and such a government (or political party) would then be ill-regarded by the population and probably labeled as "Antichrist." Since no party wants to be labeled as Satanic in this most "Christian" of countries (because they'd lose millions of votes), then no one on Capitol Hill will dare challenge the law of tax-exemption being all-too-frequently used as a rip-off in many churches across the country by fleecing the loyal members. So, for the most part, the IRS turns a blind eye to the improprieties committed inside hundreds of church organizations. As a result, most church books are never opened to the IRS, and all sorts of chicanery, extravagance, and money laundering go undetected by the law. And it's all legal.

The accounting firm of Rader, Cornwall, and Kessler used to do the Worldwide Church of God accounting, and like all such firms, they went over all the church expenses, listed them and made their standard yearly report as conforming to the IRS code. The did not have to itemize all the details of such expenses or show anything except give a general reporting to the IRS. In fact, anything could have been spent by the hierarchy of Worldwide Church of God and itemized under convenient headings that appeared suitable, and it would have been perfectly acceptable. The IRS would never know or see what was really happening.

All large church organizations usually follow this methodology. TBN, for example, has its own accounting firms, and so does CBN, and likewise, with all the "born againers." Each organization has its accounting firms that complete a token audit of the church expenses, but they know that the real details go no further than the church leadership and their own tax people. Jan Crouch of TBN, for example, announced that all their expenses were audited by two large accounting firms. But let's ask the logical question. Who pays the expenses for all this auditing? Since it's paid for by TBN themselves, and while an auditor can give private counsel as to the categorizing of expenses, he's not about to cut off his income for preparing TBN's tax statements by telling them that they're doing anything illegal.

This is how Herbie and his minions got away with it for so long. There was no one to stand over their shoulders and audit them with their extravagance. At least, not honestly. As can be seen from the articles on Worldwide Church of God REAL ESTATE, Worldwide Church of God EXPENSES, PASTOR GENERAL EXPENSES, STANLEY RADER EXPENSES, and the itemizing of the auction PASADENA GOODIES UP FOR SALE, showing Herbie's opulent and extravagant lifestyle (while members went hungry), seemingly proves that any auditing done by RC&K simply ignored the legality of the expenses situation in favor of the fees it gained by being the auditing accountants.

Another example of this misuse of this tax-exempt law, and resultant tax fraud, was reflected in the recent incident with Jesse Jackson. A know philanderer, Jackson finally got caught openly with a mistress (an ex-employee) and their twenty month old baby. The media had a field day. All expenses, according to one inside source and reported on the media, to cover up the "cover up," were taken from the coiffures of the tax-exempt corporation "Rainbow Coalition/Push." Apparently, the mistress also sold her story to the National Enquirer.

The expenses taken from this tax-exempt organization - and at the taxpayer's expense - were alarming. Supposedly, there was a one million dollar buy off, a move to California from the East Coast, and ten thousand dollars a month in "pocket money," for the lady involved. The move to CA cost $40,000. Quite a move! This ridiculously costly move must have taken place via New York, to London, to Paris, to Bombay, to Sydney, to Fiji, to Tahiti, to Hawaii, and then onto Rodeo Drive in Beverly Hills, CA. Jackson entered a claim for $1,200,000 for "travel expenses." No itemization.

I believe it was Fox News that reported (with the usual embellishments from Bill Mahr), that the $1.2 megabucks was challenged by some. Jackson retorted by claiming he was being victimized by all sorts of racism and racist tactics, and so, the government backed off and just left him alone. The IRS simply ignored the problem.

With Herbie, the situation is even more disgusting. Apostle Herbie was NOT even a minister. As such, NONE of the offspring in the Worldwide Church of God and the Worldwide Church of God+ cults are, or ever have been, ministers either. Please see NON MINISTERS. At one early time, Herbie was ordained as a preacher in the Church of God, Seventh Day. However, when the CG7 leadership found out about the character of this individual, they revoked his credentials for "conduct unbecoming a minister of the gospel."

So, layman Herbie came to California, set up a church corporation, and applied for tax exemption. In California, especially in those early days, the process was relatively simple. You could be the worst criminal in the US, but if you incorporated as a "church" organization, then a tax-exempt status would be granted. Then anyone inside that organization, with the I.Q. of meat, could call themselves a "minister," and take advantage of a church income free from taxes. This is exactly what happened with Worldwide Church of God, and there's nothing to stop similar ego maniacs from following the same method today. For example, witness the splinter groups that Herbie's death has spawned. Those cultmasters, in most cases, possess all the intellectual capacity of a rancid bean bag and then they issue their continued justification of criminal actions, delivered from the pulpit, and smothered with all sorts of nonsensical verbal vomit. But these phonies all have that tax-exempt status (with all its privileges) because they simply incorporated as a church, paid the state fee, and called themselves "ministers."

How simple it is to cheat the government! How simple it is to dodge the IRS! How simple it is to live like a king on tithes and at the taxpayer's expense! Simple, that is - if you hide behind the guise of "religion." Pay the state fee, assume a false ministerial identity, blabber and babble like a buffoon, and make lotsa money. Such con men don't even have to be legitimate. Anyone can do it. That is, of course, IF you have no morals, scruples, or integrity.

This is where all of us come in. We are better informed than those who are still imprisoned by the cults. We KNOW that these, and other, articles are being read by those who are still held mentally captive in WCG and WCG+ cults. Since there is a line at the top of the Tripod pages that says: "E-mail this page to a friend," many, I've been told, are doing just that - to multiple sources. This information is getting out to people who need it, and those people (who are receiving these articles in their email) can honestly say to their cultmasters if ever they're questioned: "I have never visited the Painful Truth Website."

We all have the unique gift of being able to reason and think for ourselves. If anyone ever tells any person otherwise or tries to drive fear into them as a result of ignorance of the facts, then if we are to listen to that pressure and conform to that coercion, it is truly a crime against ourselves. Our true nature is one of freedom - not bondage. Our spirit is truly free. It is only the darker and lower frequency side of egotistical man that would shackle our minds, hearts and spirits. That's why NO cultmaster can ever stand any type of questioning that would dare to challenge his authority or the power of the cult organization from where he derives his paycheck. If pressed, he will resort to the old retaliation method of bullying, intimidation, and fear, and that resultant affectivity goes along in proportion with a member's ignorance of the cultic facts. As a recipient of money from the cult, the cultmaster too is an accessory to the crime of stealing legitimately earned money from people, and also stealing from the taxpayer.

Please - to those who have ears to hear - EDUCATE YOURSELF. Prove all things. Check out all things, even what's been reported here. We have nothing to hide. We can prove what we say. Cults cannot.

It's our freedom that's at stake here. Cults (like WCG and WCG+) claim freedom, but the membership remains in bondage. If anyone has any doubts, then try challenging the leadership with questions and see just how "free" you really are.

We've all seen the fruits of the Worldwide Church of God cults, and we've seen the nauseating affluence in which those cultmasters relished. If you think that this repulsive conduct is normal, then I urge you, please keep checking. But, if you've finally come to see that you're in a mind controlling cult, and you struggle each day with finances while those cult leaders live in luxury, then it's time to question what's really happening in your life. As long as any of us hesitate to make the move to leave the cult, or even question its actions, then our whole family could be deprived of the God given necessities and blessings that we were all intended to enjoy. The longer we wait to even question the cultic authority, the worse our situation will be, and the more rundown our families will become.

Please don't wait as long as I did. It might be too late. But, friends, that choice must ultimately belong to each of us.

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