Many tax exempt organizations operating under tax code 501(c)(3), specificaly churches and religious institutions, are not required to publicly disclose thier finances and holdings. This policy can lead to people being coerced into donating to the organization, and/or donating under false pretenses. For example, when a church requires a member to give a tithe to be considered a member in good standing, yet the church is not required to disclose how the money is used. Some churches are multi-billion dollar organizations, yet no financial transparency is required in the United States.
Other contries, such as Canada, require churches and religious organization to publicly disclose finances as well as holdings, and members know their money is being used for the intended purpose.



