Tax Help

How To File Your Tax Return

Todo PTA debe presentar su declaración de Impuesto Federal y del Estado Este Año
Click aqui

PTAs file tax forms based on fiscal year’s gross receipts. The tax form you use will have the previous year on it because it’s based on the start date of your fiscal year. Notice you can now file the fast and easy Federal 990-N e-postcard if your gross receipts are less than $50,000:

If your gross receipts are normally equal to or less than $50,000

  1. Federal – File 990-N e-Postcard (easy for treasurer or president to file)
  2. State – File 199–N e-Postcard (easy for treasurer or president to file)
  3. RRF-1 – Print RRF-1 and mail to the Department of Treasury

If your gross receipts are normally more than $50,000 and less than $200,000 and total assets are less than $500,000

  1. Federal – File 990-EZ (recommend to use a tax professional)
  2. State – File 199 (recommend to use a tax professional)
  3. RRF-1 – Print RRF-1 and mail to the Department of Treasury

If your gross receipts are equal to or more than $200,000 and total assets are equal to or more than $500,000

  1. Federal – File 990 (recommend to use a tax professional)
  2. State – File 199 (recommend to use a tax professional)
  3. RRF-1 – Print RRF-1 and mail to the Department of Treasury

State Entity Number
When you file Franchise Tax Board form 199, you’ll need your State entity number. If you don’t know your state entity number, please contact us.

Q & A ON TAX RETURNS FOR PTAs

What are Gross Receipts?
Gross Receipts are the total income received from all sources during the annual accounting period before subtracting any costs or expenses. Gross receipts would include all the money you raised from fundraisers, interest income, donations and ticket costs for Grad Night or other events. Do not include as income the $5.75 per member you forward to Council.

Who prepares our tax return?
If you file a 990-N or 199-N, the treasurer can do it. Ultimately the president and the executive board are responsible that taxes are filed by the deadline.
If you file a 990-EZ or 199, the California PTA strongly recommends you use a tax professional with nonprofit experience. Ask around your school community for a CPA who might donate their services. Otherwise, pay a professional – it’s a legitimate PTA expense. Tax filings are complex even for professionals. No volunteer should feel stressed to fill out a tax return.

When are our taxes due?
The due date is the 15th day of the fifth month after the fiscal year end. If your fiscal year ends June 30, you must file your tax return by November 15th. If you can’t make the deadline, file an extension.

Our PTA is filing the 990-N and/or 199-N online (also known as the e-Postcard). What information will I need?

  • Federal Employer Identification Number (EIN) – from your bylaws
  • Tax Year – from your bylaws
  • Legal name – from your bylaws
  • Mailing address – use the school mailing address from your bylaws
  • Name and address of a principal officer – usually president, but can be VP, secretary or treasurer
  • Website address – if your PTA has its own website
  • State Entity Number
  • Your PTA’s gross receipts (you need this for the State 199-N)

Where do I get my California State Entity Number?
The California State Entity Number (FTB) should be listed in your bylaws. If it is not listed in your bylaws, call your council or district president or the Franchise Tax Board exemption department at 1-800-852-5711, select Business Entities information and then select option 4 to speak to a representative.

What is the website to file the federal 990-N?
Go to http://epostcard.form990.org/

What is the website to file the state 199-N?
Go to https://www.ftb.ca.gov/online/199N_ePostcard/index.asp

What is the RRF-1?
Go to State of California Department of Justice forms page for more information.
All PTAs need to register as Charitable Trusts. Every public benefit corporation is required to renew their registration with the Attorney General’s Registry of Charitable Trusts.

Do we need to notify Council if we receive correspondence from the IRS?
Yes. If any unit receives a notification of intention to audit, a fine or any correspondence from the IRS, you must forward a copy to Council. The president is responsible to make sure Council is notified.

25175-15392-4007-350

 

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s