Charitable donations using PayPal

by Denise
(Temecula CA)

If someone donates to a charitable organization using PayPal, as long as the PayPal receipt includes all the required information, does that suffice as a receipt or does the organization still need to send a receipt on letterhead?

Comments for Charitable donations using PayPal

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Jan 13, 2020
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Paypal Fee and Donation
by: Anonymous

We started using PayPal last year. They require non-profit information of the organization.
I setup a PayPal Bank Account in Quickbooks and PayPal Fees Expense Account. The tithe was already an Income Account.

I credit the donor the full amount of the donation to the appropriate income account and minus out the pp fees. Depositing into the PayPal Account. I then do a transfer into our General Fund account. Its the donation less the paypal fees Just as it transfer into the checking account via a paypal transfer.

I then gave the donors an annual contribution statement showing them the full amount of their donation they made.

Sep 05, 2019
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are you asking about donations through the PayPal Giving Fund
by: Jeff Voegtlin

If your question is in relation to gifts that are directed to the church through the PayPal Giving Fund, I believe that you should not give the donor a contribution receipt. The PayPal Giving Fund provides a charitable contribution receipt already for each donation given by the donor.

If you are using the PPGF, I'm curious about how you "keep track" of donors' contributions.

May 15, 2015
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Thank you. .
by: Lewis in NC

Thank you D. Fry for stating it better and helping me remember the $250 rule.

May 13, 2015
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paypal contributions
by: D Fry

The IRS has specific rules about receipts to charitable org's, especially if the contribution is equal to or greater than $250. A taxpayer is required to have proper documentation from the org receipting the contribution. Check out the info on this site regarding the proper way to receipt.
So I would, Yes, you need to send a receipt.

May 13, 2015
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PayPal???
by: Lewis in NC

Cash, Checks, PayPal?? If I give regularly thru any method to a church, it would be nice to receive at least one yearly summary from that church the total of my contributions.

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Join in and write your own page! It's easy to do. How? Simply click here to return to Contributions Q&A.

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Note: I am a "partner" of Gusto, but as I have told you before ... I never recommend anything that we or our clients have not tried and love =)

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