The Church of God (Anderson) teaches that the Holy Spirit is the third person of the Trinity, fully divine and personal, present in the world and active in the church. The Spirit convicts of sin, enables faith, dwells in the believer at conversion, and accomplishes the work of entire sanctification—the cleansing of the heart from the carnal nature and the filling of the soul with divine love.

The baptism of the Spirit, in Church of God theology, is identified with entire sanctification rather than with glossolalia. When the believer yields completely to God, the Holy Spirit fills and purifies the heart, enabling the person to love God and neighbor with undivided devotion. The Spirit also imparts various gifts for service and ministry. Importantly, the Spirit's work is fundamentally unifying—the Spirit creates and maintains the spiritual unity of all regenerate believers regardless of denominational affiliation. The church views itself as part of the universal body of Christ, united by the Spirit with all genuine believers.