ACC News

Seventh Circuit Issues Housing Allowance Decision

March 15, 2019

We are pleased to report that the Seventh Circuit issued its decision in Gaylor v. Mnuchin today and upheld the constitutionality of housing allowance under section 107(2) of the Internal Revenue Code.

In a 3-0 decision, the panel found that section 107(2) was constitutional.

While the issue is not over until the case is appealed to the Supreme Court (SCOTUS), we could not have asked for a better appellate court decision in support of parsonage. The issue is not fully over until an appeal is brought before SCOTUS and there is a ruling or they refuse to take the case, which will decide the issue one way or another.

In the meantime, for now, housing allowance as we know it will remain intact.

A copy of the decision is attached should you wish to review it.