December 22, 2014
Rate this
PTA or PTO?
Change in tax status raises JBF PTA decision

The JBF PTA will meet Thursday, May 10 at 7 p.m. in the school gym to discuss and vote whether to dissolve the PTA at the end of the current school year and become a PTO.

The JBF PTA’s Tax-Exempt Status has been revoked by the IRS and in February the organization received notification from the IRS as to the change in status. This change jeopardizes PTA projects and programs it provides for the children of JBF. Monies received, whether through fundraising, donation or otherwise, are now taxable and subject to penalties and taxes. Under the IRS Tax Code the JBF PTA will have to pay taxes and penalties on every dollar that has passed through its bank accounts, according to a notice sent to parents.

According to the notice sent by PTA president Jackie Harris-Connor, "The simplest option is dissolving this PTA and reforming as a PTO. This option would allow our PTA to continue operating as we have in the past but with a clear and concise set of Bylaws and Best Practices that follow the rules set forth by the IRS in relation to 501c3 non-profit organizations."


You must be logged in to post a comment. Click here to log in.
Welcome to RIjobs.com
Copyright © 2014, Beacon Communications. Powered by: Creative Circle Advertising Solutions, Inc.