Kanye West’s Sunday Service, founded in 2019, has been stripped of its charity status after failing to file tax returns for three consecutive years.
About Sunday Service
The IRS stripped the organization of its tax-exempt status on May 15, a fact that only came to light on Aug. 13 when The U.S. Sun reported how the IRS website shows the tax-exempt status has been revoked.
West, now known as Ye, established the Sunday Service as a religious organization that performed weekly gospel-themed services. He released an album with the Sunday Service Choir, “Jesus Is Born,” in December 2019.
The Sunday Service Choir, led by Kanye West and conducted by well-known choir director Jason White, is distinct from the charity itself. The Sunday Service Choir is not affiliated with a specific church.
Much has changed since 2019: Ye became a billionaire in 2020, thanks to his lucrative partnership with Adidas for his Yeezy brand, and his net worth peaked at around $2 billion in 2021. However, his fortunes quickly declined after his infamous anti-Semitic rants in 2022. Adidas and other brands severed ties with him, dropping his net worth to an estimated $400 million, according to Forbes.
Organizations that are incorporated as religious corporations, as Sunday Service was, are typically exempt from paying federal income taxes on their revenue and can benefit from tax-deductible contributions and eligibility for certain grants. However, these benefits are contingent on maintaining proper tax filings, which the Sunday Service failed to do.
The loss of tex-exempt status not only eliminates these financial advantages but may also damage the choir’s reputation and public trust, potentially affecting future donations and support. It is unclear whether the choir is still actively operating.
Adding to Ye’s legal troubles, nearly 1,000 members of the choir, led by singer Michael Pearson, sued him in 2021 over alleged labor law violations during the choir’s Hollywood Bowl opera “Nebuchadnezzar” in November 2019.
The class-action lawsuit, initially seeking $10 million, was settled for $1.35 million, according to a June 14 report by The Sun.
The lawsuit accused Ye of underpaying and mistreating performers and backstage crew, including makeup artists, hairstylists, and costume designers.
The plaintiffs claimed they were either paid late or not at all and were denied legally required overtime wages, meal and rest breaks, and reimbursement for business expenses.
As Finurah previously reported, Ye is also dealing with financial problems, with his Yeezy brand allegedly owing $1,064,221 in unpaid taxes. Additionally, he faces multiple lawsuits from former Yeezy and Donda Academy staff, as well as from his ex-personal assistant.
