Whether GoFundMe donations are tax deductible is a common question with significant implications. The answer depends on various factors, primarily the recipient of the funds and the specific tax laws applicable to the donor’s situation.
For instance, if an individual donates to a qualified charity through GoFundMe, the donation is generally tax-deductible. This is because GoFundMe acts as a platform that facilitates donations to registered non-profit organizations. However, if the funds are raised for personal use or to support an individual, the donations are not tax-deductible.