Is the Church a Tax-Free 501.3c Non-Profit?

Categories: Questions

Yes, LC242 is a 501.3c non-profit religious organization and ALL DONATIONS ARE TAX DEDUCTIBLE.  According to the IRS, all legal churches are considered 501.3c tax-exempt organizations and can received tax-free donations.  (See:  LC242 filed and achieved legal non-profit for church corporation status within the State of Texas in December 2015 under our legal name “LifeChurch 2:42 Corporation.”  As a member of the O2 Network ( we fall under their filed 501.3c group status as well.  Thus, all donations are covered under two tax-deductible organizations.

HOW ARE YOUR DONATIONS DISTRIBUTED?  Most importantly, all donations are used for the furtherance of the Gospel and for sustaining the efforts of our vision of reaching North Texas with the message and love of Jesus Christ.  All funds are immediately divided unto four categories – Tithing, Church Operations, Outreach/Missions, and Staff Compensation.

Every donated dollar given is divided in this manner:

  • 10% TITHING: Direct tithe to outside Kingdom-focused organizations;
  • 20% CHURCH OPERATIONS:  Church operating expenses;
  • 30% OUTREACH/MISSIONS:  Direct to reach our community and world with message and love of Jesus;
  • 40% STAFF COMPENSATION:  To compensate pastors and paid expertise where needed.

The exciting thing about LC242 is that we are able to take a greater percentage of the dollars donated to reach our community than can most traditional churches.  Where the traditional churches must focus upon maintaining facilities, we currently do not have that burden.  Therefore, we are able to allow 40% of every dollar given to go back out to touch the world with the message and gospel of Christ.  Our vision is by the end of 2016 to be using 50% ofe every dollar to immediately distribute to reach our community and world with the Gospel.  We also envision a network of churches in the North Texas region that are able to do the same amazing things with the resources God blesses them with.  We thank you so very much for your generous donations to LifeChurch 2:42.


Author: Thad

Leave a Reply