General Discussions

**Myname1001** · 03-26-2006, 11:51 AM

If I got 25 people to donate $500 ($12500 total) - would I have to file it up in some special tax type of thing, or just pay the regular paypal fee's and all that? I noticed paypal has a Donation feature, was wondering how it worked and what type of taxes they take from paypal donations. I'm hoping I can just collect the $12500, pay the paypal percent and thats all.

**colbyt** · 03-26-2006, 04:26 PM

PayPal won't take any taxes out.

Now whether the IRS will come calling or not is something you should ask your tax advisor.

**Myname1001** · 03-26-2006, 04:59 PM

haha good. it's not going to be "donations", it's going to be "personal favors" - from one person to another, asked in direct personal conversation from one person to another - not as a donation collector, organization, company, web site, or any of that - just as a person.

f*** taxes!

MWHAHAHA =X

**The Ape** · 03-26-2006, 11:42 PM

As far as i know, you only have to let your "visitors" who make a donation know that you, your site, or your org. is not a charity and that their "donation" is not tax deductible. But, if you plan on making that much from donations, i would take the extra precaution and ask a lawyer (as sad as that sounds.)