A bill to amend section 403 (b) of the Internal Revenue Code of 1954 with respect to computation of the exclusion allowance for ministers and lay employees of the church, and to amend sections 403 (b) (2) (B), 415 (c) (4), 415 (d) (1), and 415 (d) (2) and to add a new section 415 (c) (8) to extend the special elections for section 403 (b) annuity contracts to employees of churches, conventions, or associations of churches, and their agencies and to permit a de minimis contribution amount in lieu of such elections.

Amends the Internal Revenue Code to treat the years of service of a duly ordained, commissioned, or licensed minister of a church as years of service for one employer for purposes of computing the employee income tax exclusion allowance for employer contributions to annuities.

Grants to church employees the same option presently enjoyed by employees of tax-exempt health and education organizations to elect alternative exclusion allowances for contributions to annuities. Provides a minimum $10,000 allowance for annual additions to such annuities without regard to the amount of the employee's compensation.