Prosper Independent School District Graduation Celebration

“Description: hs graduate prizes at drug-free, alcohol-free event event. Amount: 41,689. Description: photo booth. Amount: 71. Description: merchant processing fees. Amount: 1,159. Description: office expense. Amount: 927. Total to form 990-ez, line 16: 43,846.”

“The organization does not have information available regarding the exact revenue amounts for tax years 2014, 2015 and 2016. The organization has provided its best reasonable estimate of revenue during those years. The factors creating a lack of information are below: the passage of time (i.e., records were not kept longer than the typically recommended three year period). The organization will increase its record retention policy to include at least five years of information. The revenues were below the $50,000 threshold each of the prior years, so exact revenue amounts were not required to be reported on the form 990-n. Furthermore, during those years, the organization did not reasonably expect the revenue would surpass the $50,000 threshhold. However, the town and the high school experienced unexpected and unprecedented growth over a short period of time, which increased the revenue over the $50,000 threshold in 2017. The three year average revenue was still below the $50,000 threshold for filing form 990-n for 2017”

“The organization attempted to timely file its 990-ez for the year ending 6/30/2019, but inadvertently failed to include schedule a. The officer that filed the 990-ez was simply unaware of the requirement, as the officer is not a professional tax return preparer, but a community/organization volunteer. After the 990-ez was received by the irs, the irs provided correspondence stating the 990-ez was being returned and could not be processed due to the missing schedule a. The irs requested that the organization re-submit the 990-ez with all necessary schedules. Accordingly, the 990-ez is being re-submitted, electronically. Please waive any penalties that may result from this inadvertent mistake.”