Handling Tax-Exempt Donations and Receipts for Non-Profit Recipients

Modified on Wed, 26 Jun 2024 at 10:51 AM

Q: My organization has 501(c)(3) tax-exempt status. How can I ensure that donations made to my campaign reflect this status?


A: To ensure that donations made to your campaign reflect this status, you should include a message in the custom thank you section of your campaign detailing the tax-deductible portion of the donation. This message should include the tax ID of your nonprofit organization and any other pertinent information. Additionally, you can add this information in your campaign story to ensure clarity for your givers.


Q: Can the payment receipt emailed to givers be altered to reflect our 501(c)(3) status?


A: At this time, we are unable to alter the payment receipt that givers receive. However, the custom thank you message you create will be emailed at the time of donation. Givers can pair the payment receipt and the custom thank you message for tax purposes.


Q: What should the custom thank you message include?


A: Your custom thank you message should include the following:

  • A thank you note to the giver.
  • Information on the tax-deductible portion of the donation.
  • The tax ID of your nonprofit organization.
  • Any other pertinent information related to the donation.
  • A statement clarifying that any amount donated to GiveSendGo as a tip is not tax-deductible.


Here is a suggested template:


Custom Thank You Message:

Dear [Giver's Name],

Thank you for your generous donation to [Your Organization Name]. Your support is greatly appreciated and will help us continue our mission to [briefly describe the mission].

As a 501(c)(3) nonprofit organization, the portion of your donation made directly to [Your Organization Name] is tax-deductible to the extent allowed by law. Any amount generously donated to GiveSendGo as a tip is not tax-deductible. Please retain this message along with your donation receipt for your tax records.

Tax ID: [Your Nonprofit's Tax ID]

If you have any questions or need further information, please do not hesitate to contact us at [your contact information].

Thank you once again for your support.

Sincerely,

[Your Name]
[Your Organization Name]


Q: Where can I update the custom thank you message for my campaign?


A: You can update the custom thank you message in your campaign dashboard under the "Manage Campaign" section. Look for the "Thank You Message" settings to customize the message sent to your givers.


Q: What should givers do if they have questions about the tax-deductibility of their donation?


A: Givers should consult a tax professional for any questions regarding the deductibility of their charitable donations. Your custom thank you message and the payment receipt can be used together for their tax records.


If you have any further questions or need additional assistance, please contact GiveSendGo support.

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