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11/14/2014

An Update from Portico re Legal Challenge of Housing Allowance for Clergy

GOOD NEWS!!! Yesterday, the U.S. Court of Appeals, 7th Circuit, acted to preserve the housing allowance exclusion for clergy, following a year-long legal challenge from the Freedom From Religion Foundation. Rather than rule on the issue of constitutionality, the Court determined that the Foundation lacked standing to challenge the housing allowance exclusion and returned the case to the U.S. District Court of Western Wisconsin with instructions to dismiss the lawsuit.

Earlier this year, Portico and the ELCA joined with the Church Alliance, representing a cross-denominational coalition of church benefit plans, to file an "amicus" brief that urged the court to uphold the constitutionality of the housing allowance exclusion. Portico is pleased by the Court’s favorable decision, given the value that clergy housing allowance brings to so many of our plan members.

More information about the ruling: http://www.church-alliance.org/federal-court-rules-housing

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