Question: free tickets to a show

We are planning a live performance at our school given by a professional theater company and are wondering if we can offer a few free tickets to families in financial hardship. The performance is tied to the curriculum and our Principal asked us to provide a few free tickets, if needed. Our 501 c3 application is pending with IRS. Would providing these free tickets be considered a "grant" or a "scholarship". If so, are there any specific requirements we have to follow?

Asked by ask99



Advice from PTO Today

Craig writes:
That's a very nice idea and yes, you certainly can provide free tickets to families in need. One way to handle this would be to give an amount of money to the principal to help those who need assistance. That way he makes the choices -- there's no concern about confidential information being received by the PTO (ie who is suffering financial hardship) and there's no conflict if a PTO family needs the help. You can also use this same model to set up a small fund so the principal has the means to help needy families throughout the year at his discretion.

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