If there is a meeting before the general meeting, call the Recording Secretary yourself and ask them to be present. If not, is there a board member you are friendly with? Have them come as a witness to what you said, and what happened.
Well, time for an update. I mentioned the 990 form (total receipts last year were $33,000), and that I would be asking for it at the PTA meeting; I also reiterated the state's position on the sales tax (why my state makes nonprofits pay sales tax is unbelieveable) and how it relates to our events, and everyone went ballistic, and accused me of threatening them.
I got a call at 7:30AM to schedule a meeting to occur BEFORE the general meeting on Friday. I'm guessing that they assume I'd go "Harper Valley PTA" style at the PTA meeting, which is an unsuitable place to address "unverified" questions; A board meeting is the preferred setting for such a subject.
At least we can begin to address this issues. I've sent several letters to make certain everyone involved understands that this is a group issue, not a personal one.
I do wish someone could record the minutes of the meeting. Otherwise, it seems so secret.
While what DaveP told you about the 990 and 1023 is true, it is not going to help you out at all with sales tax issues. For one thing, your PTA may not even be big enough to file the 990, and the 1023 is not necessary for local PTA units. For another, sales tax is a state/local issue, and the 990 is a federal form.
If you really want to push this issue, I think the best bet would be to put your concerns in writing to the Treasurer and President--something short and factual like "I've reviewed the monthly reports and am concerned that we have not collected or remitted sales tax in accordance with "(fill in appropriate state or local)" law. Failure to do so could result in our PTA being liable for penalties and interest, so I would like the Board to investigate this issue to protect our interests."
If you get no response, then I would contact your state's PTA treasurer and explain your concerns to that person, and let them handle it. Your local unit's exemption is really part of your state congress' exemption in most cases, so they should be concerned about the ramifications of this at the state level.
Ok we are dealing with a PTA here first off. So I have dusted off my PTA folder oof rules [img]smile.gif[/img]
Youhave two sets of records to consider hre. The treasurer and the secretary. I will assume you are neither of these. I can also conclude you are not the President [img]smile.gif[/img]
Now the question here seems to be over the tax exempt status of your ogranization (well a part of it anyway). Also if the organization has filed it's tax returns properly.
Federal law requires that all non profits make available for public inspection its three most recent Form 990's and its Form 1023 at its principal place of business. Under the new law, in addition to the public inspection requirements, all tax-exempt organizations, including private foundations, will have to provide copies of their Form 1023 to anyone who requests it. Tax-exempt organizations other than private foundations will have to provide copies of their three most recent Form 990's upon request. Under the Tax and Trade Relief Extension Act of 1998, similar disclosure requirements are also be extended to private foundations.
Now what does this all mean. It means that the records that pertain to most of the financial aspects of your PTA must be made available for inspection by concerned persons upon request. Some of these records are maintained by the secretary so that position is not exempt from providing the documentation. The only information that may be withheld are the names and addresses of specific donators.
You should make this request in writting. Also request copies of any audits performed. The PTA requires these to be performed.
Now what else may be provided by law for review I can not guess at since that would deal with your specific state.
I would look at Article XII, Section 6 of your PTA by laws to determine other records that would be included for public review.
What your PTA board can not do! They can not deny you reasonable access to the mandated records if they do then contact the state PTA or if they stone wall you then the national. If they continue to deny you access then file a law suit to force them to produce the records. Although not normally done in small claims and I would check with a lawyer first, small claims maybe a vehicle to use to force this, since what you are suing for is documentation required under law and not monentary (A cute trick you can get away with in some states to keep this from becoming a federal case - oops actually it already is), but check first.
I have a feeling when you explain the law to them they will provide you with the records and a place to go through them. Be professional because I can guareentee someone is not going to like this at all.
I recently raised a signifigant question to our PTA regarding PTA finances (sales taxes on events in excess of the state exemption limit), and was told that it was "taken care of", and "we've been mailing our returns" . Upon reading the monthly treasurer's reports for the last year, it turns out that this is not true. We may have prior liability going back several years. I have requested records or written documentation from the president several times without success. Now the involved parties are ignoring/avoiding me in the hallway, etc., and still no records.
What should I do next?
I'm not on a witch hunt or planning a coup, I'd just like to see proof that we are properly handling our finances, and if we aren't, to get it paid and over with and move on from there.
What procedure should I follow to get the proper records without turning this into a loud messy situation?
If the records don't exist, how would a reasonable person proceed from here?
