For PTOs

Form 990-N for PTOs: what your treasurer needs to know

A PTO usually stands on its own, with no state or national organization behind it, so it needs its own EIN and files its own annual IRS return. If gross receipts are normally $50,000 or less, that's Form 990-N, free at irs.gov. A PTO with gross receipts normally $5,000 or less doesn't have to apply for exemption, but it still files the 990-N.

How is a PTO different from a PTA?

A PTA belongs to the National PTA network, with a state PTA office that guides its units on tax status. A PTO (parent-teacher organization) is an independent parent group. National PTA notes that unaffiliated groups aren't part of a larger network and usually get little or no help securing nonprofit status (National PTA).

That matters for the IRS. A group exemption covers organizations affiliated with a central organization (IRS), so an independent PTO normally has none to rely on. Everything below is done in its own name. If you're a PTA, see Form 990-N for PTAs.

Does our PTO need its own EIN?

Yes. Every exempt organization needs its own EIN (employer identification number), even with no employees (IRS Publication 557). Your school's or district's number won't do. Waco ISD, for example, tells parent organizations they can't use the district's EIN (Waco ISD).

Abington School District in Pennsylvania likewise bars parent groups from using the district's number for the state sales-tax exemption (Abington SD).

Do we have to apply for tax exemption?

That depends on your size:

• Gross receipts normally $5,000 or less: you can be treated as a 501(c)(3) without filing an application (IRS instructions for Form 1023-EZ).
• Larger than that: to be recognized as a 501(c)(3) you apply with Form 1023 or, if you qualify, the shorter Form 1023-EZ. The 1023-EZ is for organizations projecting gross receipts of $50,000 or less a year and total assets of $250,000 or less (IRS). The IRS user fee is $275 for the 1023-EZ and $600 for Form 1023 (IRS).

Getting an EIN doesn't make you tax-exempt on its own; Waco ISD makes the same point to its parent groups (Waco ISD).

We never applied. Do we still file the 990-N?

Yes. The IRS says some organizations "do not have to apply for tax exemption but still have a Form 990-N filing requirement," including small 501(c)(3)s (IRS). Because the IRS may not have you on file as a filer, an officer first calls 877-829-5500 and asks for the organization to be set up to file Form 990-N. See who must file.

When is our PTO's 990-N due?

The 15th day of the fifth month after your fiscal year ends (IRS). PTOs set their own fiscal year. Many follow the school year, but not all: the PTO treasurer in the IRS's own training course uses a calendar year (IRS StayExempt).

• Year ends June 30: tax year 2025 is due Monday, November 16, 2026.
• Year ends December 31: tax year 2026 is due Monday, May 17, 2027.

Other year ends: due dates by fiscal year end.

What does our school district expect?

District policies vary, so ask yours. Two examples:

• Waco ISD asks parent organizations to send its internal audit office a copy of each IRS letter they receive, such as the acknowledgment and the determination letter (Waco ISD).
• Abington School District asks the treasurer for a written income-and-expense report by June 30 each year, wants bylaws by October 1, and requires the principal's written approval before unbudgeted spending over $250 (Abington SD).

Do we have to register with our state?

Possibly. That's separate from the IRS. State charity regulators often exempt small groups or parent organizations:

• Pennsylvania lists parent-teacher associations or organizations as excluded or exempt from charity registration when a notarized letter from the school district recognizes them. It also excludes groups raising $25,000 or less a year without paid solicitors (Pennsylvania Department of State).
• New York's charity law exempts organizations with gross contributions under $25,000 in a fiscal year that use no professional fundraiser (N.Y. Executive Law §172-a).

Check your own state's charity office before assuming you're exempt.

Who files it, and what should we keep?

Usually the treasurer, signing in with their own Login.gov or ID.me account and adding the PTO's EIN (see 990-N login help). The IRS training's PTO treasurer keeps copies of filed returns and their records for at least three years (IRS StayExempt). That's a good habit to hand on to the next treasurer.

What counts toward gross receipts?

Everything the PTO took in, before expenses, including the full amount of every fundraiser (IRS). "Normally $50,000 or less" is an average over several years. See what that means.

What if we've missed a year?

There's no penalty for a late e-Postcard, but three missed years in a row end tax-exempt status automatically (IRS StayExempt). See two years behind, or check what the IRS has on record:

Check your PTO's filing status

Sources

• IRS, Group exemptions, Publication 557, Instructions for Form 1023-EZ, Form 1023 and 1023-EZ user fees
• IRS, Form 990-N FAQs and Who must file; Gross receipts defined
• IRS StayExempt, Maintaining 501(c)(3) tax-exempt status (transcript)
• National PTA, PTA vs unaffiliated parent groups
• Waco ISD, Federal regulatory information for parent organizations
• Abington School District, PTO/PTA administrative procedure
• Pennsylvania Department of State, Excluded or exempt organizations; New York, Executive Law §172-a