Is my donation taxable?

Donations on Gift of Parenthood are treated as personal gifts, and the tax rules for gifts are friendlier than most people expect. Here is how it works for both sides of the donation.

Is my donation taxable to me as the donor?

Generally, no. The IRS treats a contribution to a personal fundraiser as a gift, and giving a gift does not create taxable income for you.

One thing to know if you are very generous: if you give one person more than the IRS annual gift tax exclusion in a single year, you may need to file a gift tax return. The exclusion amount changes from year to year, so check the IRS page on gift taxes for the current figure.

You will receive an emailed receipt for every donation once your payment goes through, so you always have a record for your files.

Is my donation taxable to the recipient?

Generally, no. The IRS treats money received through a personal fundraiser as a gift, and gifts are generally not taxable income to the person receiving them.

What about deducting my donation?

Being tax free is not the same as being tax-deductible. Donations to a personal fundraiser are personal gifts and are generally not tax-deductible, because the crowdfunding platform is operated by Give Panda, LLC, a for-profit company. Donations to the Gift of Parenthood grant fund, which is run by Gift of Parenthood, Inc., a 501(c)(3) nonprofit, may be tax-deductible. You can read more in Is my donation to Gift of Parenthood tax deductible?

We cannot provide tax advice. For questions about your specific situation, a qualified tax professional is the right person to ask.