Carol,
I am trying to do some research on the tax exempt status for our homeschool group and cannot find a clear answer. We are trying to see if we have hit the $5,000 gross receipts limit.
Would money that individual members pay to the group, so that the group can write one check to an organization, for instance a field trip, be considered in the gross receipts?
Nikki E
Nikki,
All money that comes in, even if it goes out almost right away like for a field trip, is considered gross income.
Not difficult to get over that $5,000 limit, is it?
To help in your research you might want to read my The IRS and Your Homeschool Organization
You can also get more info on creating a nonprofit at this webinar:
https://homeschoolcpa.com/bookstore/webinars/create-a-nonprofit-webinar/
Best of success to you,
Carol Topp, CPA
HomeschoolCPA.com
