I'm going to ignore the posts about stuff other than the taxes topic and say churches shouldn't be taxed. You are asking if a non-profit organization should be taxed, and the answer, is obviously no. Then every non-profit org would have to be taxed. Furthermore, like AOW said, they operate mostly off of donations, not your money. If you don't like them being there or think it's not fair how big their building is, don't contribute.