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Tithes - Gross or Net

The official word on tithing is that we are to give 10% of our interest to the Lord anually.

Focusing on the word 'interest' what does this mean? Does this mean you pay on what you get after taxes or before?

Here are other examples.

A> If you run a business selling apples and you buy one apple for $1 and sell it for $1.10 then do you pay tithes on $1.10 or on your profit of $0.10?

B> Let's say that same apple was not selling and you end up selling it for less than you paid for it - $0.90 then would you pay tithes on something you lost money on?

C> Let's say you sell an apple for $2 and then paid your tithes, but later the person who bought the apple complained that it poisoned them and sued you for $1000.00 which you ended up paying. Would this be deducted from future profits?

D> Let's say in order for you to sell the apple you have to pay a rent of $50 monthly, should this be taken out of your profit or regardless to if you lose or make a profit you have to pay on everything you earn.

What is your view? You can refer to each example as A,B,C, or D.

Net Gross Tithes

I will answer this with a quote I found today:

by Elder John A. Widtosoe

Tithes - Gross or Net Studies Doctrine Mormon

Thanks for the quote but it still does not give a definition for A,B,C, or D as 'interest, or increase' can still be interpreted as net or gross to many people.

Now I believe that if a person is getting a salary of $1,000 then his tithes is 10% of $1,000 and not 10% of what he may receive after his boss pays taxes.

However in a person running a business the workings are different since the investment is not time only and a loss can actually be experienced from selling something - so can this be considered increase?

Net Gross Tithes

I believe the key word is increase.  So, one has to decide what amounts to their own personal increase.

Since I don't think the Church takes an official stand on this, I also don't think it really matters what we decide as long as we are consistent and as long as we have made the decision prayerfully and while studying out the words commanding us to pay out tithing.

Now, an example of what I mean regarding consistent:  If someone pays on net income (after taxes) then if they receive a tax refund at the end of the year, they would owe taxes on that refund as well.  If someone pays on gross income and gets a tax refund at the end of the year, they would not owe tithing because they already paid on this amount.

Increase can be argued, so that is why we need to decide for ourselves prayerfully.  We are not to be commanded in all things (although I find it easier to follow rules that are black and white and laid out for me.    )  One could say that the amount of taxes held out of their paycheck each week is money they never see and so it isn't a part of their increase.  Someone else could argue that they derived a benefit from what the taxes are used to acquire and so that they did see an increase with this money.  Again, someone could say, that money isn't spent in any way I find beneficial so no, it isn't a part of my increase.  This is why I believe it is between the person paying tithing and the Lord.

I believe if it mattered whether it was pre or post tax then we would be instructed and it would be part of our tithing settlement at the end of each year and also a part of our Temple Recommend interview.  In my opinion, if we are being honest with ourselves and faithfully paying tithing on the amount we believe to be our true increase, we are living the law of tithing, regardless if we pay before or after taxes.

Based upon my above reasoning here are my answers to A-D

A:  Pay on the increase which was .10
B:  No increase was incurred so no tithing owed.
C:  The total increase you have for the year would be reduced by this amount because it was a loss in business increase.
D:  Yes.

Net Gross Tithes

This is a real point of contention for a lot of folks.  I've worked for members who are self-employed and they generally pay on their "Net Income" - after paying all expenses related to running their business before taxes.

I agree with Tena here that it is a matter of personal, prayerful decision-making, and it will be between us and the Lord.  Well said, Tena.

Here's another question on the same general question:  Do you consider TIME to be an increase to you?  Is every minute of your life an increase?  Do we consider every breath as a gift from God?  Do we tithe our time?  Should we?  And if so, do we tithe Net (time awake) or tithe Gross (time alive)?

Roz

Tithes - Gross or Net

I have heard people suggest that we should tithe of our time.  I believe in the early days of the Church, some members tithed 1/10 of their working days to build the Navoo (and maybe others) Temple.  They would spend the 10th day of each work cycle working physically on the Temple building.

I certainly don't tithe net or gross when it comes to time, but it is an interesting thing to consider.

Tithes Gross Net

I think we have it very easy in 2003. I remember my parents paying a "building fund" and being asked for assessments to pay for a new building. I figured one time my parents were paying 30-35% of their income. I don't balk now at paying a generous fast, perpetual education fund or missionary donation.

I agree with Tenaheff's answers...

Tithes Gross Net Mormon Doctrine Studies

This is the answer for most 'gray' areas that require and honest decision, but I would say that we must make sure that what we take in prayer to the Lord is very open minded for the answer and not preset by already conceived notions about what is and is not a full tithed. The reason I say this is because I have met many members that say they received 'inspiration' about it but it is very questionable. What I feel personally will come later (got to save some for other threads  )