Philanthropy

Tax Benefits - Frequently Asked Questions


Making the most of your contributions includes not only finding a charity that's right for you but also knowing about your tax benefits. All the charities on our site - as well as JustGive - are registered with the IRS as 501(c)(3) organizations and have been given tax-exempt status. To learn more about this and other related topics, please browse our FAQs below.

  • What does it mean to be a 501(c)(3) organization?
  • What is my tax benefit for charitable contributions?
  • What counts as a charitable organization?
  • How can I take a deduction for my donation?
  • Do I need a receipt for donations I make?
  • Do I need any acknowledgement for donations under $250?
  • For donations over $250, what information does the receipt need?
  • Can I receive a tax deduction for a donation to a nonprofit overseas?
  • Can I take a deduction for volunteering my time and services?
  • What does it mean to be a 501(c)(3) organization?
    For charities, this means that they can accept contributions and offer donors a tax deduction for their gifts. For donors like you, this means your contributions are fully tax-deductible to the amount allowed by law. The email receipt you receive from JustGive does indeed meet all the IRS requirements as a record of donation.

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    What is my tax benefit for charitable contributions?
    The chart below gives the deduction for a single person in each tax bracket making a cash donation of $100. The instructions for the Form 1040 will help determine the exact amount of your deduction, which will vary depending on your tax bracket and whether you file as a single person or jointly.

    Tax Bracket
    Donation Amount
    Benefit
    Out-of-Pocket Cost
    10% $100 $10 $90
    15%
    $100
    $15
    $85
    25% $100 $25 $75
    28%
    $100
    $28
    $72
    33%
    $100
    $33
    $67
    35%
    $100
    $35
    $65

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    What counts as a charitable organization?
    A charitable organization is generally defined as any nonprofit organization that is incorporated and identified by the IRS as a 501(c)(3) organization. These organizations have been given tax-exempt status and can accept contributions. JustGive itself is a registered 501(c)(3) organization, as well as all of its one million charities.

    Please note: Not all donations to nonprofits can be claimed as charitable deductions, even if the organization is registered as a nonprofit. Check with the IRS on whether or not an organization can receive charitable deductions.

    Charitable events: For a charitable event, only a portion of the ticket value is deductible. The charity hosting the event will be able to identify the exact value of the benefits for each event.

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    How can I take a deduction for my donation?
    To claim a deduction, you will need to fill out a 1040 Form, which is available through the IRS website, and itemize your deductions on Schedule A. If you fill out the short form or take standard deductions, you cannot claim your contributions.

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    Do I need a receipt for donations I make?
    Taxable years beginning prior to the effective date of the Pension Protection Act of 2006, the IRS doesn't require receipts for donations under $250, though it is a good idea to keep this information on file. For all donations made in taxable years beginning after the effective date of the Pension Protection Act of 2006, the IRS requires the donor to maintain the bank record or a written communication from the organization to which you donate. Every time you make a donation through JustGive, that donation is recorded in your Giving History by the year, a feature that makes itemizing your taxes easy and convenient.

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    Do I need any acknowledgement for donations under $250?
    Taxable years beginning prior to the effective date of the Pension Protection Act of 2006, the IRS doesn't require receipts for donations under $250, though it is a good idea to keep this information on file. For donations made in taxable years beginning after the effective date of the Pension Protection Act of 2006, the IRS requires the donor to maintain the bank record or a written communication from the organization to which you donate. Always note the name of the organization, the donation amount, and the date of the contribution.

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    For donations over $250, what information does the receipt need?
    The donor must maintain the bank record or a written communication from the organization to which you donate. The acknowledgment needs to record the name of the organization, the donation amount, and the date the contribution, as well as a written acknowledgement of any property or services that you may have received in return for your donation and an estimate of their value. The IRS should acknowledge an email receipt as an acceptable record of contribution, but to be certain, always consult your tax advisor.

    When you donate on JustGive, your email acknowledgement will provide the amount, transaction date, and the charity name, all things the IRS wants you to keep a record of when you donate.

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    Can I receive a tax deduction for a donation to a nonprofit overseas?
    If you want to take a deduction for your donation, be sure to donate to a charity registered in the United States. That doesn't mean you can't give to an organization that has an international scope, such as CARE or Save the Children. You just have to make sure the charity is registered in the U.S. if you want to take the deduction.

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    Can I take a deduction for volunteering my time and services?
    You cannot deduct the value of time or services to a charitable organization, but you can deduct any hard costs associated with that volunteering, such as the gas or bus fare it costs to get there. For example, if you volunteer in a charitable hospital and have to wear a uniform, you can deduct the cost of buying and cleaning the uniform. The IRS will let you deduct any out-of-pocket expenses you acquire in the course of volunteering.

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    Disclaimer: JustGive does not warrant or guarantee the accuracy, quality, completeness, or validity of any information it provides. All information has been obtained from sources believed by JustGive to be accurate and reliable. Please consult your tax advisor for specific tax advice.

    For more answers to your questions, please read our Donor Information FAQs.


    Can I deduct charitable contributions 

    on my tax return?

    When making charitable contributions to qualified organizations, a tax deduction is generally available for those charitable contributions for taxpayers who itemize tax deductions on their  tax return, provided, in most cases, the total tax deduction on the taxpayer's tax return does not exceed ½ of the taxpayer's Adjusted Gross Income. Excess tax deductions for charitable contributions may be carried forward to future tax returns for five tax years.

    You can deduct your charitable contributions on your tax return only if you make the charitable contributions to a qualified organization. To become a qualified organization and accept tax deductible charitable contributions, most organizations other than churches and governments, as described below, must apply to the IRS.

    Restrictions on Charitable Contributions made after August 17, 2006
    Cash contributions
    All cash contributions made in tax years beginning after August 17, 2006, to any qualified charity must be supported by a dated bank record or a dated receipt. The tax year for most individual taxpayers begins on January 1.

    Clothing and household items
    Beginning with contributions made after August 17, 2006, no deduction is allowed for most contributions of clothing and household items unless the donated property is in good used condition or better.

    Charitable Contributions - IRS Publication 78. You can ask any organization you intend to make charitable contributions to whether it is a qualified organization, and most will be able to tell you. Or you can check Publication 78 prior to making a charitable contribution, which lists most qualified charitable organizations. You may find Publication 78 in your local library's reference section. If not, you can call the IRS tax help telephone number shown for your area in your tax package to find out if a charitable organization is qualified to accept tax deductible charitable contributions.

    Charitable Contributions - Types of Qualified Charitable Organizations

    Generally, only the six following types of charitable organizations can be qualified charitable organizations and accept tax deductible charitable contributions.

    The United States, a U.S. Possession, a state, city, or town, or Indian tribal government;
    A community chest, corporation, trust, fund, or foundation organized or created in or under the laws of the United States, any state, the District of Columbia, or any possession of the United States (including Puerto Rico). It must be organized and operated only for the following purposes:

    Religious,

    Charitable,

    Educational,

    Scientific,

    Literary purposes, or

    For the prevention of cruelty to children or animals;

    Certain organizations that foster national or international amateur sports competition also qualify;
    Domestic non-profit veterans' organizations or auxiliary units;
    A domestic fraternal group operating under the lodge system;
    Nonprofit cemetery and burial companies (your charitable contribution must benefit the whole cemetery, not your burial plot);
    Legal services corporations organized under the Legal Service Corporation Act.

    Charitable Contributions - Examples. Qualified charitable organizations that can accept tax deductible charitable contributions include:

    Churches, a convention or association of churches, temples, synagogues, mosques, and other religious charitable organizations,
    Most nonprofit charitable organizations such as the Red Cross and the United Way,
    Most nonprofit educational charitable organizations, including the Girl (and Boy) Scouts of America, colleges, museums, and day-care centers if substantially all the child care provided is to enable individuals (the parents) to be gainfully employed and the services are available to the general public. However, if your charitable contribution is a substitute for tuition or other enrollment fee, it is not tax deductible on your IRS tax return as a charitable contribution, as explained next under Charitable Contributions You Cannot Deduct,
    Nonprofit hospitals and medical research charitable organizations,
    Utility company emergency energy programs, if the utility company is an agent for a charitable organization that assists individuals with emergency energy needs,
    Nonprofit volunteer fire companies,
    Public parks and recreation facilities, and
    Civil defense charitable organizations.

    Charitable Contributions You Cannot Deduct on Your Tax Return

    Charitable contributions you cannot deduct on your tax return at all include charitable contributions made to specific individuals, political organizations and candidates, the value of your time or services and the cost of raffles, bingo, or other games of chance. You cannot deduct on your tax return charitable contributions that you give to qualified charitable organizations if, as a result, you receive or expect to receive a financial, or economic benefit equal to the charitable contribution.

    Although you cannot deduct on your tax return the value of your time or services, you can deduct on your tax return the expenses you incur while donating your services to a qualified charitable organization. If the expenses are for travel, which may include transportation and meals and lodging while away from home, they may be deducted on your tax return only if there is no significant element of personal pleasure, recreation, or vacation in the travel. Actual costs of gas and oil can be deducted on your tax return, or you can choose to take 14¢ per mile for using your own car. For more information see, IRS Publication 463, Travel, Entertainment, and Gift Expenses.

    Charitable organizations must provide donors with contemporaneous written acknowledgment of all charitable contributions valued at $250 or more. Donors are responsible for requesting this substantiation of the charitable contribution from the charitable organization. In addition, charitable organizations must disclose the value of any benefits provided when a charitable contribution of more than $75 includes some benefit (e.g., a fund-raising dinner or entertainment). The value of the goods or services received is not tax deductible on your tax return.

    Charitable Contributions - Canadian charities. To deduct your charitable contribution to a Canadian charity, you generally must have taxable income from sources in Canada. See IRS Publication 597, Information on the United States-Canada Income Tax Treaty, for information on how to figure your tax deduction on your tax return.

    Charitable Contributions - Mexican charities. You may be able to deduct on your tax return charitable contributions to certain Mexican charitable organizations under an income tax treaty with Mexico. To deduct your charitable contribution to a Mexican charity on your tax return, you must have taxable income from sources in Mexico. The charitable organization must meet tests that are essentially the same as the tests that qualify U.S. charitable organizations to receive tax deductible charitable contributions. The charitable organization may be able to tell you if it meets these tests. If not, you can get general information about the tests the charitable organization must meet by writing to the: