I think the list of organizations to whom payments are tax deductible should be narrowed to focus on charities/donations to organizations that dont benefit yourself. I see churches similarly to how I see gold's gym or a country club. They provide a service (religion/salvation/fellowship etc.) to a membership group (the congregation). A country club provides a pool and golf to its membership.

That being said, churches are probably a bit more generous than a country club when it comes to helping non-members. Thus, I wouldnt oppose nuance in the issue. I just think that the vast majority of the money "donated" to churches goes to running the church, not to helping the poor or building houses for people, or feeding people. Its not a donation if you are showing up at church every sunday and engaging in the service that your donation is paying for.