Question: Should we be filing some IRS return?

We became a PTO 3 years ago and got an EIN to open an account. We only charge membership dues which is all used to help the school purchase needed items. So we take in about $500 a year in dues. Due to our low intake, it wasn't worthwhile to become 501C3. I was also told we didn't need to file anything with IRS. New president has just been told we should have been filing something. Is that correct? If so, what do we do since we haven't filed anything for 3 years? My SS# was used for the EIN and she said everything could come back on me.

Asked by Anonymous



Advice from PTO Today

Rose H writes:
Hi there. It's Ok. Just start moving forward now. You can take the steps to file for 501(c)(3) status with the IRS. It costs $275 (for groups that bring in less than $50,000 per year) and you can file online It is not true that "everything could come back on" you. Essentially, the IRS wants to see groups making a good faith effort to go through this process. Go to this link to get more details and links to the IRS for filing.

Take it one step at a time an it will all work out. This article is also really helpful:

501(c)(3) for PTOs


Community Advice

llambert writes:
We had been told there was a minimum of $5000 before the IRS wanted you to apply for 501C3. We only bring in $500 a year as we don't do fundraisers. We just pay taxes if we have to purchase anything. So are you saying we still need to become 501c3?

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