High School Sports Officials - Protect Your Assets

"High School Sports Officials"

"SAFEGUARD" your personal interest when joining or working as an independent contractor for a high school officiating association. Just as you have car insurance, or homeowner's insurance. Its your primary responsibility to ensure that the organization you are doing independent contracting services for has your interests protected. Do get a copy of the association's "agreement" for officiating.

You must to be assured by the governing body, in writing, that none of an official's personal assets are at RISK or used as COLLATERAL during your membership year. This is for your protection just in case the IRS audits the association.
Having a Form W-9 on file is not a guarantee of full protection, nor is 1099 receipt.

Associations must be a legal business entity and have federal Tax Exempt documents
No tax exemption equals owing "corporate taxes" on earnings from schools and/or school districts

State Certified/Approved
High School Sports Officials
should file a Form W-9 with Association

Red Flag: If you are asked to post a W-9 with schools?
If you agreed and signed a contract with the school,then you post a W-9
If you did not, then its the association's representative duty to post a W-9
This is a protocol issue that must be followed

Federal law requires School Districts and Booster Clubs issue Form 1099-MISC for services rendered....
Send 1096 to IRS
Remember the $5000 rule....Associations must file an income reporting form with the IRS. All income must be reported via the proper Form 990.
Associations are required to report gross receipts (income) by the 15th day of the 5 month following the closing of calendar year or school year.
Example: Basketball associations needs to report their receipts by November 15th Associations without IRS "tax exemption" Letter are classified as "For Profit", must file proper tax form and pay "corporate tax" on gross income.

IRS Master File Data is available for download in spreadsheet format.
Listed are all 501(c)(?) organizations in good standing with the IRS.
Look to see if your association is listed as a 501(c)( )
Download
IRS Master File Data

Your Community Requires High School Sports Officials Organizations
" Comply with IRS Requirements"
Revenue of $5000 or more, the IRS wants to know!!
Does Your Association Comply????

In 2009 and up to October 15, 2010, the IRS issued a press release....wanting all state "nonprofits", incorporated or unincorporated to file a Form 990, regardless of "exemption" status. In a 2011...in another press release, the IRS wanted all organizations with an Employer Identification Number (EIN) to update its EIN data to name a "responsible party". No deadline was set. Those with EIN were required to fax the updated information to the Internal Revenue Service

State level sports officials should research how an organization should be operated. Misinformation by board members can generate problems down the road. TRANSPARENCY is one way of knowing how the association operates, the other is ACCOUNTABILITY.

Contact:
Association Reform