Are the donations I receive taxable?

Crowdfunding Advisors Payments & Providers

Are the donations I receive taxable?

Payments & Providers
— Updated: August 7, 2020

I’m running a campaign through your service. Will I have to pay taxes on the money I receive?

The short answer:

Maybe.

The long answer:

Contributions received through crowdfunding may be considered taxable income if the recipient of the contributions does not have tax-exempt status. This is applicable to both Personal and Organization campaigns.

If you’re receiving funds through a crowdfunding campaign but you do not have tax-exempt status, you may have to pay taxes on the money you’re raising. To find out for sure, contact an appropriate tax professional in your area.

If you are running a personal campaign that is selling products (t-shirts, custom artwork, foods, gift cards, etc.) or services (product support, exclusive tours, catering, etc.), you will need to speak to an appropriate tax professional to learn what is, and what is not, considered taxable income.

If you’re an Authorized Officer of a Non-Profit Organization with tax exempt status, you can learn more about our Non-Profit features on this link here.


I’m a contributor to a campaign running through your service. Can I get a tax receipt?

The short answer:

Maybe.

The long answer:

FundRazr is not a Non-Profit platform with a tax-exempt status. We cannot offer tax receipts on behalf of unregistered groups or individuals. Only registered charities or non-profits with a tax-exempt statuses are able to issue tax receipts through our system.

If you have contributed to a campaign, you will receive a Payment Notification email with the transaction details. If the donation is for a tax-exempt charity, you will receive your receipt in an email a few minutes later. If you do not receive a tax receipt, it is likely that the group you donated to in unable to issue a receipt to you. To find out for sure, simply contact the person or organization who created the campaign you contributed to.

If the recipient of your contribution has tax-exempt status but you weren’t automatically issued one, please contact them to obtain a tax receipt. If they don’t have tax-exempt status, then you won’t be able to deduct your contribution for tax purposes.


Please note: Because of differing individual circumstances and jurisdictions, we do not provide information or specific advice on taxation. We recommend that you consult an appropriate tax professional who can provide you with information and advice relevant to your specific situation and location.