Are GoFundMe Donations Tax-Deductible? A Simple Guide

Whether GoFundMe donations are tax-deductible depends on who the recipient is. Donations made to nonprofit fundraisers are typically tax-deductible, while others, including those to individuals, aren’t.

In this article, we will explore how tax deductions work for charitable donations and explain why most GoFundMe donations aren’t deductible. We’ll also look at instances when donations are deductible, show you how to keep track of donations, and explain how to report donations on your taxes.

How Tax Deduction Works for Charitable Donations

Tax deductions for charitable donations work by reducing your adjusted gross income (AGI), thus reducing your income tax.

Figuring out the nuances behind this concept can help you understand whether GoFundMe donations are tax-deductible, as not all of them qualify for it, as per the IRS rules for donations.

In essence, only donations to qualifying organizations can be used as tax deductions. Qualifying organizations are those registered under section 501(c)(3) of the Internal Revenue Code. This includes various charitable, religious, scientific, educational, and similar organizations.

Crowdfunding donations to individuals, regardless of the purpose behind them, can not be tax-deductible, as they do not qualify under the IRS rules. That’s why you can’t claim any deductions for donating to personal fundraising campaigns, whether it’s for someone’s medical bill, education, or other form of benevolent assistance.

Moreover, you must keep donation receipts for any contributions in the amount of $250 or more. These records need to be issued by a qualified organization to which you donated, indicating the amount and whether you contributed anything other than cash. In addition to all that, you must itemize your deductions if you want to claim tax deductions on charitable donations. This is done on Schedule A (Form 1040), Itemized Deductions.

If you take standard deductions (as of 2026, the amounts are $16,100 for Single or Married Filing Separately, and $32,200 for Married Filing Jointly or Qualifying Surviving Spouse), you can’t deduct your donations from your taxes.

Lastly, it’s critical to understand that the purpose of the donation doesn’t influence whether it’s tax-deductible. Instead, the legal status of the recipient determines deductibility. This is vital for GoFundMe donations, where many people get confused thinking that donations “in a charitable spirit” can reduce their income tax.

Why Most GoFundMe Donations Aren’t Deductible

Most GoFundMe donations aren’t deductible because they aren’t made to qualifying organizations. Instead, many consider GoFundMe to be a community support platform, so the majority of campaigns are personal fundraisers.

Recipients typically receive the money from the donations directly into their bank accounts. As such, these payments are recognized as gifts under the U.S. tax law, and so they aren’t deductible.

Note that gifts can be subject to Gift Tax, which is typically the payer’s responsibility. Fortunately, the annual gift exclusion is $19,000, which is more than most donors on GoFundMe contribute. Those who exceed the threshold will need to file a gift tax return (Form 709).

Some of the most common examples of GoFundMe donations that aren’t tax-deductible include:

• Medical bills. People use the platform to fund expensive treatments or emergency surgeries.

• Disaster relief. GoFundMe donations can be used to help people in cases of house fires, floods, and other catastrophes.

• Travel and education. Contributions can help individuals with higher education, like college tuition and trips to study abroad.

• Personal projects. People can utilize GoFundMe to enter creative hobbies or even start small businesses.

While providing financial assistance to many of these causes is considered charitable and the causes are “worthy,” the IRS does not allow you to claim these contributions as deductions. From a legal standpoint, there’s no nonprofit board to oversee the use of funds, so there’s no proof that they are for a charitable purpose.

Additionally, GoFundMe doesn’t determine the nature of a contribution or its deductibility; it is simply an online platform that connects donors and donees and facilitates payment. Its tax rules follow the IRS tax code and can’t turn a personal donation into a legally classified charitable contribution.

When GoFundMe Donations Are Tax-Deductible

GoFundMe donations are tax-deductible when they are made to registered 501(c)(3) nonprofit organizations. The platform categorizes these as GoFundMe nonprofit fundraisers.

When donating from the United States, you’ll see a “Tax deductible” tag next to the name of the GoFundMe organizer. This is how you’ll know for sure that your contributions are tax-deductible. If you’re donating to these organizations from any other country, you’ll see a green check next to the name instead of the tag.

With these donations, the money doesn’t go directly to the organizer on GoFundMe. Instead, it is transferred directly to a qualifying organization via PayPal Giving Fund or GoFundMe Pay. This is because some organizations use GoFundMe as a fundraising tool instead of their own websites or other places and platforms.

Your donations through GoFundMe are treated as if they were made directly to the nonprofit, via their website or a mailed check.

Additionally, when you contribute to a GoFundMe nonprofit fundraiser, you’ll automatically receive a receipt via email. This receipt is typically issued by PayPal Giving Fund and not GoFundMe itself. If you don’t receive the receipt automatically, you can contact GoFundMe support, and they’ll reach out to PayPal Giving Fund on your behalf.

To be absolutely certain that your donations are tax-deductible, you should always verify the organization’s status before submitting your contributions. You can do this by using the IRS Tax Exempt Organization Search tool and looking up a 501(c)(3) entity. Finally, if you’re in doubt, you should always consult with a tax professional before donating.

Valuable Advice on How to Keep Track of Donations

To keep track of your donations, make sure to save all receipts and associated information, and organize them for easy retrieval. This is especially important if you make frequent tax-deductible donations and have plenty of various receipts. Even legitimate contributions can be denied as deductions if you can’t find and provide proper documentation to the IRS.

The first step in tracking donations for taxes is to save all email receipts you receive from GoFundMe and the PayPal Giving Fund. While these platforms may keep these records on their servers, and you should be able to access them via your account, you should not rely on them to keep records indefinitely.

Keep in mind that the IRS requires you to keep these records for at least three years. That’s why it’s good practice to download the receipts and keep them in secure storage, such as your hard drive or a cloud-based system.

Make sure that the receipts have the following information:

• The name of the 501(c)(3) organization and its identification number.
• The amount, which should match the expense on your credit card or bank statement.
• The date of the donation, which determines in which tax year you’ll be able to claim the deduction.

If a receipt lacks any of these details, contact the platform and request complete records.

Also, as previously mentioned, for every donation of $250 or more, the IRS requires you to have “contemporaneous written acknowledgement from the qualified organization.” It needs to state if you received goods or services in return, along with an estimate of their value.

To file your tax return more easily when the time comes, you should also keep a simple spreadsheet with the essential information about each receipt. This will give you a clear overview of your donations.

How to Report Donations on Your Tax Return

To report donations on your tax return, you must claim them on Schedule A of Form 1040. Reporting charitable contributions, including those on GoFundMe, is done in the “Gifts to Charity” section, on line 11.

Keep in mind that there are limitations to how much of your donations you can claim as deductions. In general, individuals can deduct up to 60% of their adjusted gross income (AGI) in a year; this limit is for charitable cash contributions, and it can even be lower in some instances.

If you donate more than this, you can usually carry over the excess deductions and claim them over the next five years.

Also, you don’t need to submit receipts with your tax return to claim them. However, you need to keep them in your records in case of an audit. Missing the receipts with the necessary information on them will most likely result in disallowed deductions.

Ultimately, if you’re unsure about a specific donation or tax law, you should consult a tax professional. This can save you a lot of trouble and help you avoid making potentially costly mistakes. A professional can answer all your questions, show you exactly how to claim a tax deduction, and ensure that you remain compliant with the latest laws and regulations.

Final Thoughts

To sum up, GoFundMe donations are tax-deductible only when made to registered 501(c)(3) organizations. Anything else is considered a gift, regardless of the well-meaning intent behind the campaign. If your money goes straight to another individual, a donation is non-deductible.

Remember to keep all the receipts that you receive and to make sure they have all the information about the value of the donation, date, and recipient. While you won’t need those receipts when itemizing deductions on Schedule A of your Form 1040, you’ll have to keep them for at least three years in case of an audit.

Are GoFundMe Donations Tax-Deductible FAQ

#1. Can I deduct donations to friends or family?

No, you can’t deduct donations to friends or family. Under IRS rules, donations made to individuals are considered gifts, regardless of their charitable nature. Personal gifts are not tax-deductible and can even be taxable if the amounts are significant.

#2. How do I know if a GoFundMe campaign is tax-exempt?

To know if a GoFundMe campaign is tax-exempt, look for the “Tax deductible” tag next to the organizer’s name. If you’re donating outside the U.S., the organizer’s name will have a green check instead. You should also look for the organization using the IRS Tax Exempt Organization Search tool.

#3. Do I get a receipt for tax purposes?

Yes, you will get a receipt for tax purposesif you donate to a certified GoFundMe nonprofit fundraiser. The receipt should come from the PayPal Giving Fund. GoFundMe may give you receipts for personal fundraisers, but those can’t be used for tax purposes.

#4. Can I claim multiple donations in a year?

Yes, you can claim multiple donations in a year, as long as you itemize your deductions on Schedule A. You can donate to multiple charities as many times as you want, though there is a limit to the total annual deduction, which is usually 60% of your AGI.