RELATIONS WITH PARENTS OR PARENTS' ORGANIZATIONS: PARENT/BOOSTER ORGANIZATIONS

GE (R)

 BOOSTER CLUBS

Incorporated booster clubs shall be separate and distinct entities for both state sales tax purposes and federal income tax pur-poses. The booster clubs shall be responsible for filing all tax returns with respect to money generated and spent by the booster clubs. Accounts controlled by cafeterias, booster clubs, PTAs or other outside organizations shall normally be handled through separate bank accounts under the name, tax identification number, and complete control of the organization. These accounts and their records normally shall not be maintained by school personnel, or on District property.

After filing the appropriate forms with the Texas Secretary of State and the Internal Revenue Service, the booster clubs shall main-tain their tax exempt status, and the contributions to the booster clubs shall continue to be deductible by the donors. Each booster club shall have its own Articles of Incorporation, Bylaws, directors, officers, minute book, and accounting records.

Leaders of the various booster clubs shall complete Articles of Incorporation, Bylaws; Organizational Meeting Minutes; and IRS Form 1023, which is the Application for Exemption with the Internal Revenue Service. Generally, these are tasks which must be completed only once. The fee for filing the Articles of Incorporation with the Texas Secretary of State is $25.00, and the fee charged by the IRS to file the Form 1023 is either $375.00 or $500.00, depending on whether or not the organization anticipates gross receipts during its first year of operation in excess of $10,000.00. Sample articles of Incorporation, Bylaws and Organizational Meeting Minutes, and a sample completed Form 1023 are included in GE (E). The booster clubs shall contact the Texas Comptroller of Public Accounts to establish their respective Texas tax identification numbers, to apply for exemptions from the Texas sales tax for certain items to be purchased by the booster clubs. The booster clubs shall comply with the UIL Booster Club Guidelines.

SALES OF CONTEST
PROGRAMS

Programs for student contests sold at Blossom Athletic Center shall not be subject to the 12-1/2% sales fee. This waiver shall apply only to contest programs.