I must preface this post by saying that I am not an accountant or a lawyer. This information is not meant to construe tax or legal advice. I recommend consulting a trained professional.
So, you’ve donated money on GoFundMe, or you’re going to be donating money, and you’re wondering whether or not your donations are tax-deductible?
First of all, good job! You’re educating yourself! You’re doing a lot better than most other crowdfunders and donors out there.
The answer to your question is relatively straightforward, but there are a few snags that can vary on a case by case basis.
Typically, donations to GoFundMe campaigns are considered “personal gifts,” which don’t fall into the income category in the USA. This is true if the individual gift is $14,000 or less. If it’s more, you’re going to run into some tax issues.
Since your donation to a personal GoFundMe campaign is a “personal gift,” it’s not certain whether or not it’s tax-deductible. It’s unlikely. You’re going to have to consult your attorney or accountant for a firm answer.
Now, if you donated to a campaign with a Certified Charity badge, then you’re in luck! That campaign will generate a tax-deductible receipt for you from the PayPal Giving Fund.
The reason that this donation is tax-deductible is because you donated to a 501(c)(3) charity organization. In other words, you gave money to a nonprofit.
How Can You Help The Campaign?
I want to thank you for donating to a GoFundMe campaign! We need more people like you in the world.
One of the reasons that I put together my latest book, Crowdfunding Personal Expenses, is because I wanted to help these various crowdfunding campaigns in a very tangible way.
I put out a lot of free content and YouTube videos that teach crowdfunders how to raise more money from the crowd.
In the book, I go through a BUNCH of free ways that these campaigns can get more donations using simply techniques. I think that anyone looking to run a personal fundraiser will find it to be extremely helpful.
It would mean a lot of if you let the campaign organizer know about this guide!
For more free resources, they can also which has podcasts and videos that will walk them through strategies for raising money on GoFundMe.
Which Campaign Did You Support?
Finally, if you’d like to share the campaign that YOU supported, feel free to leave a comment down below. I’d also love to hear the reason WHY you supported it or HOW you discovered it.
There are so many people out there who need to raise money online, but they don’t know where to begin. By hearing your story and why you supported a campaign, it will help them put together a pitch that resonates with their friends, family, and local area.
