Can a PTA receive cash donations from a business for printing of their business information in a program book or a PTA newsletter?
Yes. The PTA may receive cash donations from a business. The content of the acknowledgment is key to whether the donation is tax free or taxable to the PTA. If the acknowledgment of thanks lists the sponsor’s name, logo, address, telephone number, and products, then it is considered tax free sponsorship. If however, the acknowledgment asks members to buy the product, makes a qualitative judgement about the product, or endorses the product, the donation would then be taxable income to the PTA. Our school is sponsored by Target. We receive donations based on purchases made on the Target credit card. The PTA administers the program with Target, but the checks are made out to the school not the PTA. This creates a conflict with the school office as to where the money belongs. Any suggestions? If it is a PTA program then the checks should be made out to the PTA. Talk with Target management and ask them to make the checks payable to the PTA. Explain that when the check is made out to the sch
