Booster News: Booster Club Loses Nonprofit Status

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Booster clubs can lose non-profit status with the IRS. A recent Forbes article brought this to our attention again, highlighting an IRS ruling from late August. “Capital Gymnastics operated in a manner that allowed substantial private inurement,” said the ruling. “[Capital Gymnastics] promoted private, non-public interests.” How did Capital Gymnastics ruin it’s 501(c)(3) status? Using a point system. Parents who didn’t want to fundraise paid, while other parents did collective fundraising … [Read more...]