Posted by Amazing [Anointed] on November 10, 1999 at 14:02:53 {AAJB0ph6mY/CPYT8orz2ASIIcexUto}:
In Reply to: KH Question posted by Farkel on November 10, 1999 at 13:27:35:
The Society no longer charges 3% interest, it is now much higher, about 6% or more.
In many, if not most cases the congregations are established as non-profit corporations or associations in each state. The active baptized members are considered the collective owners. This is true for most church organizations which operate on a congregational style, rather than a heirarchial style of church government.
When the Kingdom Hall is paid off the Deed is reconveyed to the congregation. The elders usually are the ones who hold positions of officers in the corporation. The PO is often the President, the Field Service Overseer the VP, and the Secretary is the Secretary-Treasurer. In California, for example, they are required to meet once a year, and make a report to the congregation. While the annual meeting is usually done, the report to the congregation is often over looked. In our congregation, as Secretary, I would read the congregation corporation report during the Service meeting, often with the Accounts report.
There are no property taxes charged for property used directly for church activity, so Kingdom Halls do not have to pay such taxes.
Many years ago the Society had a lawsuit with the Bonham, Texas congregation. The congregation elders and many publishers opted to leave the organization The court brief filed by Don Adams representing the Society, claimed that the Hall belonged to the Society because the Society is a heirarchial organization, like the Catholic Church, meaning that all property belongs to the Society.
However, the Society in reality always practiced 'Congregational' style ownership. This limited liability and reduced insurance costs. The Society lost the suit with the Bonham Congregation and the Kingdom Hall was lost with it.
Before I left the organization, I was aware that the Society had centralized insurance for Kingdom Halls, and it seems there was 'talk' about placing the real property in 'trust' to the Society. This was thought to prevent losing the Hall in cases like the Bonham, Texas case.
But it has been about 6 years since I left, so I cannot say for sure how this is done today.
Simply Amazing