Do those of you (PTOs that are incorporated and are a 501C3) that own assets depreciate these assets? I have read that some PTOs own popcorn machines, musical instruments, playground equipment etc. Could you let me know how you report this on your 990 EZ or other required IRS tax returns? Once you get into accounting for depreciation, would it be advisable to have a CPA review the PTO reports/return? I would prefer to keep our treasurer accounting as simple as possible (for assorted reasons) but want to do things properly as well. Thanks.

Our group is being asked to "own" a set of donated string instruments which will be used in an after school program funded by a generous person in our area. In terms of owning these assets (worth about $5000,newly purchased and then donated to our PTO) and our going forward to incorporate and obtain 501C3 status, are there any special issues I would have to deal with as treasurer in the reporting aspect of these assets? Do I need to depreciate them etc. for reporting to the IRS or do anything of the like for our group? Thanks!