Rev. Rul. 57-401

Several questions have been raised in connection with Revenue Ruling 57-139, C.B. 1957-1, 284, relating to the filing of a waiver certificate on Form 2031, Waiver Certificate for Use by Ministers, Certain Members of Religious Orders, and Christian Science Practitioners Electing Coverage Under Title II of the Social Security Act, by duly ordained, commissioned, or licensed ministers desiring self-employment coverage for the calendar year 1955.

Revenue Ruling 57-139, supra , holds, in part, that a minister who failed to file a waiver certificate prior to April 17, 1956, but timely filed his Federal income tax return, including Schedule C, for the calendar year 1955 and paid the self-employment tax shown thereon to be due, will be considered to have met the requirements for self-employment coverage for 1955, provided that a waiver certificate is filed without unnecessary delay. The Revenue Ruling further states that such waiver certificate will be considered effective beginning with the calendar year 1955 notwithstanding its actual filing subsequent to April 17, 1956.

The Internal Revenue Service has been asked (1) what constitutes the filing of a waiver certificate `without unnecessary delay'; (2) whether the provisions of section 1402(e)(2) of the Self-Employment Contributions Act of 1954 (chapter 2, subtitle A, Internal Revenue Code of 1954), relating to the time for filing a waiver certificate, are controlling in the application of the rule set forth in Revenue Ruling 57-139, and (3) whether the surviving spouse, administrator, or executor of a deceased minister shall be permitted, under any circumstances, to file a waiver certificate for the decedent for the calendar year 1955.

Section 1402(e)(2) provides, that a minister desiring to file a waiver certificate must file such certificate on or before the due date of the Federal income tax return for his second taxable year ending after 1954 for which he has net earnings from self-employment of $400 or more, any part of which is from services performed in the exercise of his ministry.

No hard and fast rule can be established to determine whether a waiver certificate is filed without unnecessary delay since the conclusion reached in a particular case must be based upon the facts and circumstances existing in such case. In applying the provisions of Revenue Ruling 57-139, supra , the actual date of filing the waiver certificate is immaterial so long as the filing is done preomptly by the minister after he has been apprised of the requirement for filing a waiver certificate as set forth in Revenue Ruling 57-139, supra .

Furthermore, the Service has adopted the position that where a waiver certificate is filed under the circumstances and in conformity with the conditions provided for in Revenue Ruling 57-139, supra , it will be deemed to have been timely filed for the purposes of section 1402(e)(2) of the Code. It is the further position of the Service that the surviving spouse, or the administrator or executor of the estate of a deceased minister is not precluded from filing a waiver certificate for the decedent, effective for the calendar year 1955, provided such decedent had timely filed his Federal income tax return, including Schedule C, for the year 1955, and paid the self-employment tax shown thereon to be due.

It must be borne in mind that Revenue Ruling 57-139, supra , has application only to the year 1955.