Question: Need answers

Our school has a PVo. It's a parent volunteer organization. We were told any money raised by them did not have to g back to the school. I think this is wrong since there is a non profit status. Am I wrong??

Asked by Anonymous

Answers:

Advice from PTO Today

Craig writes:
The IRS rule for tax-exempt charities is that your money must be spent in line with your mission, and my experience is that they interpret that pretty broadly. Giving money to the school to purchase computers, for example, would certainly be within a parent group's mission. But so might funding a parents' night out as a way to build a sense of community and increase involvement among school parents. Most parent groups do not give all of the money they raise to the school. They do give some money to the school, and they spend money themselves to support the school and the school community.