do pastor pay taxes
For purposes of a federal income tax return, a pastor pays tax on only the amount of salary paid by the church, not including expenses such as housing and fringe benefits. Pastors should pay close attention to self-employment tax, however,.
Pastors pay their Social Security and Medicare tax the same way a self-employed person would, through self-employment tax. This tax is 15.3% of income including the housing/parsonage allowance and is calculated on the Schedule SE that is filed with a minister's tax return each year.