PTO Tax Filing: How to File IRS Form 990-EZ
Published by
SchoolRelay Editorial Team
School parent-group practitioners focused on practical communication systems.
Which IRS return your PTO files, the 990-N and 990-EZ thresholds, the annual deadline, and the three year rule that revokes tax exempt status for non-filing.
A PTO with tax exempt status files a short information return with the IRS every year. It is not an income tax bill; an exempt group owes no income tax on the money it raises for the school. The filing reports what came in and went out. Miss it three years running and the IRS revokes your exemption automatically. This guide explains which form your group files, when, and how to stay in good standing.
Why a PTO files at all
Once the IRS recognizes your group as a 501(c)(3) public charity, the annual return is the condition for keeping that status. The 990 series is an information return: it tells the IRS and the public how a tax exempt organization used its money (IRS, Annual filing and forms). Filing also gives your members a clean financial summary and makes the treasurer handoff far easier at the end of the year.
Which form your PTO files
The form depends on your gross receipts and total assets. Most parent groups fall into the first two rows.
| Your situation | Form to file |
|---|---|
| Gross receipts normally $50,000 or less | Form 990-N (e-Postcard) |
| Gross receipts under $200,000 and total assets under $500,000 | Form 990-EZ (or full 990) |
| Gross receipts $200,000 or more, or total assets $500,000 or more | Form 990 |
The 990-N is an online notice with about eight items, no financial statements attached. A group raising under $50,000 can usually finish it in ten minutes. The 990-EZ is a four page return with a revenue and expense summary, used by mid sized groups (IRS, Form 990-N, and IRS, About Form 990-EZ). A growing PTO running a large auction or carnival can cross the $50,000 line in a single year, so check your number before you assume the e-Postcard still applies.
Key Takeaway
Gross receipts of $50,000 or less means the simple 990-N e-Postcard. Above that, up to $200,000 in receipts and $500,000 in assets, you file the 990-EZ. Confirm your figure every year; a big fundraiser can change which form you owe.
When the return is due
The return is due by the 15th day of the fifth month after your accounting period ends. A group on a calendar year (ending December 31) files by May 15. A group on a school year ending June 30 files by November 15. If your bylaws set the fiscal year, that date drives your deadline, so the bylaws and the filing calendar should match.
What to gather before you file
- Your Employer Identification Number (EIN)
- Your legal name exactly as the IRS has it on record
- The tax year dates you are reporting
- Total gross receipts for the year (every dollar in, before expenses)
- For the 990-EZ: total expenses, total assets, and a breakdown of revenue by source
- The names and addresses of current officers
Clean treasurer records make this fast. If your group reconciles its account monthly and keeps the figures in your meeting minutes, the annual totals are already there.
How to file the 990-EZ
The IRS requires the 990 series to be filed electronically. You file through an IRS authorized e-file provider rather than mailing paper.
Step 1: Confirm your form. Add up gross receipts and total assets for the year and match them to the table above. If you are at or below $50,000 in receipts, file the 990-N instead and skip to the deadline.
Step 2: Choose an e-file provider. The IRS lists approved providers for the 990 series on its filing pages. Some charge a flat fee for small organizations; a few file the 990-N at no cost.
Step 3: Enter your figures. Report revenue by category (membership dues, fundraising, donations, program fees), then expenses. The form nets to your year end assets, which should match your bank reconciliation.
Step 4: List officers and answer the governance questions. The 990-EZ asks who runs the group and whether you have certain written policies. Answer honestly; the return is public.
Step 5: File before the deadline and save the confirmation. Keep the acceptance record with your permanent files so the next treasurer can prove the year was filed.
The three year rule that revokes status
This is the part that catches volunteer boards. An organization that fails to file a required 990 series return or notice for three consecutive years has its tax exempt status revoked automatically, by law (IRS, Automatic revocation of exemption). No warning letter is required for the revocation to take effect. Because parent boards turn over every year, a single missed handoff can start a streak nobody notices until donations stop being deductible and the group appears on the IRS revoked list.
The fix is structural, not heroic: write the filing deadline into your officer transition checklist and your bylaws fiscal year, and confirm each spring that last year was filed.
If your status was already revoked
A revoked group can apply for reinstatement by filing the exemption application again and the missing returns, and the IRS has a simplified relief process for small organizations that lost status only for non-filing. You search the IRS automatic revocation list to confirm your current standing before you start. Until reinstated, the group is treated as taxable and donations are not deductible, so handle this promptly rather than waiting for the next board.
Build filing into your year
Annual filing fails when it lives in one person's memory. Tie it to the records you already keep. Strong meeting minutes give you the year's financial figures, and a clear officer transition passes the deadline to the next treasurer. Set the fiscal year in your bylaws so the due date never drifts.
For the wider picture of treasurer controls, budgeting, and audits, read the PTO management guide. This page is general information, not tax or legal advice; confirm your specifics with the IRS or a qualified accountant.