Questions and Answers

Identifying Information:Parent Teachers Associations (PTA), Parent Teacher Organization (PTO), and Booster Clubs
Tax Type:Kansas Retailers' Sales Tax
Brief Description:Questions and Answers relating to PTA's, PTO's and Booster Clubs.
Keywords:
Approval Date:12/07/1999



Body:
Office of Policy & Research


What is a Parent Teacher Association (PTA) or Parent Teacher Organization (PTO)?

K.S.A. 79-3606(yy) exempts from Kansas retailers' sales tax "all sales of tangible personal property and services purchased by a parent-teacher association or organization, and all sales of tangible personal property by or on behalf of such association or organization;"

For purposes of the exemption extended at K.S.A. 79-3606(yy), “parent-teacher association” means a nonprofit parent-teacher association chartered by the National PTA or Kansas PTA.
PTAs are authorized to operate within a public or private school by the governing authority of the school. A “parent-teacher organization” means a nonprofit parent-teacher organization that is functionally equivalent to a “parent-teacher association” and is authorized by the governing authority of a public or private school to operate within the school.

The PTA or PTO must operate for the benefit and support of an individual school with a defined organizational structure, purpose, and goals, and must be recognized by the school as a PTA or PTO. A PTA/PTO provides programs within a school that promote the education, health and safety of children. Generally, there is only one PTA/PTO within a school and they would have long-term goals and objectives and numerous programs operating within the school.

Do organizations such as “Booster Clubs” qualify for this exemption?

Organizations such as "booster clubs" that operate in connection with schools usually do not qualify for exemption as a PTA or PTO. Booster clubs are organized and operated to benefit school functions that are of a narrow or one-dimensional nature, such as to support a sport, band or drama group. They do not encompass the broad objectives of PTAs or PTOs. Booster clubs or similar clubs that support sports, bands, or other extra-curricular activities do not qualify as PTAs or PTOs, even though they may be composed of parents, students, businesses, and others who are interested in the school or in certain facets of the educational process.

For purposes of this exemption, a school is defined as an institution which meets the compulsory attendance provisions of K.S.A. 72-1111.



Date Composed: 12/13/1999 Date Modified: 10/11/2001