Are GoFundMe donations tax deductible for the 2025 tax season?

So if I wanted to help my neighbor with medical bills AND get a tax deduction, I shouldn't donate directly to their GoFundMe? I'd need to give money to my church instead and just hope they decide to help my neighbor? That seems so complicated and uncertain. Is there any way to make sure my donation goes where I want AND get the deduction?

You've identified the exact challenge with charitable giving and tax benefits. If your primary goal is helping your specific neighbor, the direct GoFundMe donation is simplest, though not tax deductible. If you donate to your church hoping they'll help your neighbor, you get the tax deduction, but you cannot dictate how they use the funds - that would invalidate the deductibility. The church must maintain discretion over fund distribution. Some churches have benevolence funds specifically for community members in need, which might be worth discussing with your pastor or church leadership.

Wait so can the tool tell you beforehand if a GoFundMe campaign would be tax deductible? Like before you donate? I'm trying to help my friend's family with funeral expenses but would love to get the tax break too if possible.

I'm pretty skeptical about these tax tools. How exactly does it determine if a GoFundMe is connected to a legit charity? Does it just take your word for it or does it actually verify with some database? Most GoFundMes I've seen are just personal fundraisers.

It definitely can analyze a GoFundMe page before you donate to tell you if it's connected to a qualified charity! Just upload the campaign link and it checks if the beneficiary is a registered 501(c)(3). Super helpful for making informed decisions. It actually connects to the IRS Tax Exempt Organization database to verify the charity status - that's how it caught that one campaign I didn't realize was actually run by a legitimate nonprofit. It's not just taking my word for it, which is why I trust the results.

How does this actually work? Do they somehow get you to the front of the IRS phone queue? That seems impossible with how overloaded their system is!

Yeah right. No way the IRS called you back in 45 mins. I've been trying for MONTHS to get through about my tax return issues. Sounds like another scam trying to get access to people's tax info.

It uses a system that continuously calls and navigates the IRS phone tree until it gets through, then it connects you. It's not cutting in line - it's just doing the waiting for you so you don't have to sit there listening to hold music for hours. I was totally skeptical too! But it actually works. They don't ask for any tax info - they just need your phone number to connect the call once they get through to an IRS agent. You're talking directly to the real IRS, not to some third party. I wouldn't have believed it either if I hadn't tried it myself.

This is really risky! The IRS might not catch it immediately, but they have a 3-year window to audit returns (6 years for substantial underreporting). Just because tax software doesn't require proof doesn't mean you don't need it if audited. The fact that you're deducting non-qualified donations means you're technically filing an incorrect return. If audited, you'd owe back taxes plus interest and possibly penalties. The IRS has been increasing enforcement resources, so I wouldn't continue this practice.

Thanks for the warning! I honestly had no idea I was doing anything wrong - I figured if they were helping people with medical bills or after disasters they'd count as charitable. Definitely going to stop claiming these and maybe even consider amending my recent returns to be safe. Do you think I should just fix it going forward or should I actually amend my past returns? I'm nervous about triggering an audit by submitting amendments.

But doesn't that defeat the whole purpose of wanting to help a specific person? I get that it's tax smart, but if my neighbor needs $5,000 for surgery, me donating to American Cancer Society doesn't actually solve their immediate problem.

You're absolutely right @Ella Russell - that s'exactly the dilemma! I think the key is being realistic about your priorities. If helping your specific neighbor is most important, then donate directly to their GoFundMe and accept that you won t'get a tax deduction. If getting the tax benefit is equally important, then you might need to help your neighbor in other ways like (bringing meals, helping with errands while) directing your cash donations to qualified charities. Some people do both - they ll'donate what they can directly to the person who needs help, then also make separate donations to related charities for the tax benefit. It s'not ideal, but it s'a compromise that addresses both goals.

This is really great advice about checking the beneficiary information! I had no idea that was a way to tell if a GoFundMe might be tax deductible. The community foundation idea is brilliant too - I bet a lot of people don't even know those exist in their area. Do you happen to know if there's an easy way to find local community foundations? I'm thinking that could be a perfect middle ground for people who want to help their neighbors while still getting the tax benefits. It sounds like they might be more flexible than churches about helping specific types of situations.

This is incredibly helpful information! I had no idea about the 211 helpline - that sounds like such a valuable resource for finding local assistance programs. The community foundation route really does seem like the perfect solution for people who want to help locally while still getting tax benefits. I'm curious - do community foundations typically require a minimum donation amount? And when you donate to their emergency assistance funds, do they provide detailed receipts that clearly show it's going to qualified charitable purposes? I want to make sure I have proper documentation if I go this route for my tax deductions. Also, does anyone know if community foundations ever coordinate with GoFundMe campaigns? Like, could someone set up a GoFundMe that's actually managed by a community foundation to get the best of both worlds - the reach and ease of GoFundMe with the tax deductibility of a qualified organization?