Dear Kenneth:

I recommend that you be careful about scrupilosity. Just because a hymn is written by a Protestant does not automatically make it problematic. After all, the Church officially teaches that truth can be found outside of the Catholic Church and where there is that truth to that degree, even if it is only a small grain of truth, we can agree with non-Catholics on that grain.

With that said, here are the lyrics:

Amazing Grace, how sweet the sound,
That saved a wretch like me.
I once was lost but now am found,
Was blind, but now I see.

T'was Grace that taught my heart to fear.
And Grace, my fears relieved.
How precious did that Grace appear
The hour I first believed.

Through many dangers, toils and snares
I have already come;
'Tis Grace that brought me safe thus far
and Grace will lead me home.

The Lord has promised good to me.
His word my hope secures.
He will my shield and portion be,
As long as life endures.

Yea, when this flesh and heart shall fail,
And mortal life shall cease,
I shall possess within the veil,
A life of joy and peace.

When we've been here ten thousand years
Bright shining as the sun.
We've no less days to sing God's praise
Than when we've first begun.

Most people against this hymn claim that it teaches Grace Alone. Indeed, since John Newton was a Calvinist, I am sure the Calvinist view, which is heretical, was on his mind.

The actual words of the hymn, however, are not really clear. At best the hymn is ambivalent and subtle when looking only at the words, and not considering the author's intent.

On the issue of Faith alone:

The Catholic Church, in her document, Ephesians, chapter 2:8-10 says:

"For by grace you have been saved through faith, and that not of yourselves; it is the gift of God, not of works, lest anyone be found boasting. For we are his workmanship, created in Christ Jesus for good works, which God prepared beforehand that we should walk in them." 

We cannot buy grace, we cannot earn grace. Grace by definition is a "free gift" of God. 

The controversy about Sola fide is really not so much about the grace part, inasmuch as it is about the faith part — the characteristics that someone with this faith will express in their lives.

St. James says:

(James 2:17-18, 24, 26) So faith by itself, if it has no works, is dead. But some one will say, "You have faith and I have works." Show me your faith apart from your works, and I by my works will show you my faith.

...You see that a man is justified by works and not by faith alone.

...For as the body apart from the spirit is dead, so faith apart from works is dead.

There is no contradiction between St. Paul and St. James, which is why it is really puzzling that Martin Luther, a educated Catholic monk, could so easily misinterpret this.

Our salvation is by grace "through" faith, not works of the law. But what is faith? St. James says that "faith apart from works is dead", that is, if we have faith we will express that faith in the works of love.

 St. James was not talking about the works of the law as St. Paul was talking about.

Thus, St. James says that if we say we have faith, and do not express that faith in the works of love, then our so-called faith is dead. If our faith is dead, then we have no faith, and then we do not have the saving grace which requires faith as St. Paul says.

It is apples and oranges here between St. Paul and St. James.

The Lutheran Church, by the way, in discussions with the Catholic Church, finally agreed, I think, that there is no conflict between the Catholic and Lutheran views. 

Finally after 450 years, the Lutherans finally saw that there were no contraditions between St. Paul and St. James.

Back to the hymn, Colin Donovan, from the EWTN Q&A, focuses on the intent of the author:

Answer by Colin B. Donovan, STL on 8/5/2003: 

Amazing Grace is coming out of the Protestant theological tradition and reflects its emphasis on sola gratia, grace alone. In verse one the text says "Amazing grace! How sweet the sound, That saved a wretch like me!" While this sounds very humble, and by itself appears inoffensive to Catholic ears, in light of the theological tradition it comes from it suggests the complete depravity of man which was at the root of Luther's theology. Catholic teaching rejects that. Human nature is wounded, but remains capable of natural good acts, that is, acts of natural virtue, both moral and intellectual, as opposed to supernatural virtue (which IS a gift from God). 

In keeping with that the Catholic must also reject verse two, which asserts that sanctifying grace is given with belief. "How precious did that grace appear,The hour I first believed." While a certain natural faith in the credibility of revelation disposes the person to request entrance into Christ's Church and to desire the "Amazing Grace" of Justification, sanctifying grace (actual justice), the grace of the theological virtues (faith, hope and charity), the supernatural moral virtues (without which a meritorious act, as opposed to an act of the natural man cannot be done) and the Gifts of the Holy Spirit (which perfect man) are communicated at Baptism, NOT "the hour I first believed." Granted a Catholic could read into that the hour of baptism, when supernatural faith is actually communicated, but that is not the intended meaning of the hymn, which reflects the theology that one must only "believe on the Lord Jesus" and one is granted salvation. Implied in the balance of the verses is the doctrine of Blessed Assurance, that "once saved" one's salvation is assured - a doctrine at serious odds with Scripture, and therefore Catholic teaching, and contrary to the good of man. 

Since there is an obligation to use only doctrinally sound hymns in the Liturgy, Amazing Grace is at best equivocal and at worse seriously contrary to the Catholic theology of grace. 

The Bottomline: Unless the Church declares otherwise, it would appear that a person's personal opinion about Amazing Grace is up to personal conscience.

But, the suitability of this hymn for liturgy is a completely different matter. I agree with Mr. Colin's last paragraph.

I would certainly talk to your pastor about Amazing Grace being sung during Mass. You might also contact the bishop to get an official decision about this.

God Bless,
Bro. Ignatius Mary