1 / 14

What you should know about legally operating a school booster club

What you should know about legally operating a school booster club. Parent Booster USA, Inc. www.parentbooster.org. There are more than 100,000 K-12 public and private schools in the United States.

abedi
Download Presentation

What you should know about legally operating a school booster club

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. What you should know about legally operating a school booster club Parent Booster USA, Inc. www.parentbooster.org

  2. There are more than 100,000 K-12 public and private schools in the United States.

  3. Most schools have more than one booster club – Parent Teacher Organization, music, sports, academic and other booster groups.

  4. Most booster clubs have no idea how to operate legally.

  5. The IRS lists just over 3500 parent teacher organizations on its file of tax-exempt organizations.

  6. There are thousands more that don’t have tax-exempt status.

  7. All booster clubs are REQUIRED to file an IRS tax return.

  8. Thousands of booster clubs aren’t filing a tax return.

  9. Parent Booster USA recommends that school booster clubs be STRUCTURED as: 1) nonprofit corporations; 2) with bylaws; and 3) 501(c)(3) status (federal tax exemption)

  10. Incorporation provides:1) a well-understood legal structure;2) liability protection; and,3) additional credibility.

  11. Bylaws:1) guide the organization on how to operate, including how and when to conduct elections and meetings;2) provide policies for handling conflicts of interest, financial and other matters.

  12. Federal 501(c)(3) tax-exempt status provides:1) deductibility of gifts and donations;2) eligibility for grants; and,3) qualify to file IRS Form 990 and be exempt from federal income tax.

  13. 2 Ways to become 501(c)(3) Apply to IRS independently Join Parent Booster USA • Complete IRS Form 1023 • Pay IRS filing fee ($850 if gross income over $10,000/year; $400 for smaller organizations) • Wait 6 months • No ongoing support • Complete simple online membership application • Pay joining fee ($195 501(c)(3) only; $295 with incorporation & EIN) • Immediate 501(c)(3) status • Ongoing support, including reminders to file 990 required to keep tax exempt status

  14. www.parentbooster.org Immediate tax-exemption, guidance and support for school booster clubs

More Related