Hey -
Just wanted everyone to know that I received our approval for 501 (c)3 staus this month. All the fine advice that I received from this site back in March-May really paid off. It was approved in less than 30 days!!!!!!!! Keep giving all the good advice!

I think the answer you want is "i".

For anyone else tuning in, we're talking about Form 1023, Section III, question 9 - on page 6. When we filed, the IRS rep told me quite specifically that PTO's tend to fall under "i".

i) receive more than 1/3 [financial] support from contributions, membership fees, and activities related to its exempt functions.

It does seem the logical choice, and if you chose "e", then you have to fill out yet another form - Schedule D. So I happily complied and put "i". We got our 501(c)(3) status with no problem.

Subsequently another poster to the forum said he was told he could choose "j" which leaves it to the IRS to decide if the right choice for you is h or i.

In any event, it doesn't sound like "e" would be the right answer and it's more work.

Good luck and keep us posted on your progress.

Last time, I promise, I'll be sending this in as soon as I come up with the right answer:

THE ORGANIZATION IS NOT A PRIVATE FOUNDATION BECAUSE IT QUALIFIED:

(e) As being operated solely for the benefit of, or in connection with, one or more of the organizations described in a through d, g, h, or i (one of which is a school).

(i) As normally receiving not more than one-third of its support from gross investment income and more than one-thrid of its support from contributions, membership fees, and gross receipts from activities related to tis exempt functions (subject to certain exceptions).

None of the other choices fit, but when I pulled up the forms Schedule D did not accompany and that is required of option (e), which makes me wonder.

Thanks for any help you can give me.