First, the income tax is an abomination in that it violates free speech. Assuming that this IRS interpretation of it is accurate, which I think it is not....for that reason alone, it should be struck down.
Second, since the 1st amendment protects my free exercise of religion, anything that impedes that free exercise is a violation. The tax exemption for churches is a necessary interpretation of a constitutional right and it is not a matter of some cockamamie interpretation of the IRS.
If you take some of my money that I put in the offering plate then you have hindered by worship of God. Therefore, my exercise of my religion was not "free;" rather, it was HINDERED.
I don't really care who disagrees with me on this, even if it's the Chief Justice of the Scotus. You can't take money that I've designated for one thing, and use it for another thing, and claim that you haven't hindered my intent.
I agree with you. But I don't want to see the IRS going after conservative churches while turning a blind eye to what goes on in liberal churches.
Oh please the income tax doesn't violate free speech. It may be argued that it is outside of the POWERS assigned the federal government.. but certainly not free speech.
So therefore even if you wanted to say the income tax is beyond federal powers the states DO have a right to tax anyone they please and can certainly put whatever exemptions they want on whether or not they pay that tax.