Getting your donors' tax receipts should be a breeze, here we'll explain what are tax receiptable amounts in minutes.
Let's delve into the concept of tax receiptable amounts and how you can easily set them up! Don't worry, we've simplified the math for you.
If you want to provide tax receipts, it's crucial to determine the total tax receiptable amount.
Tax receipts are exclusively issued for donations. Whether you're attending a fundraising event or purchasing an item, a portion of the ticket price represents the value received from the event itself, while the remaining amount is considered a donation towards the chosen cause.
What do you mean by the value received?
This refers to the expenses related to food, beverages, and any additional items provided to attendees at the event. To determine the value received, calculate the total cost of these expenses per ticket holder.
To calculate the donation amount for the ticket, subtract the value received from the ticket price. This will give you the Total Tax Receiptable Amount for the ticket.
Pro Tips:
1. If you do not want to offer tax receipts, simply leave the Total Tax Receiptable Amount field empty when adding your ticket details.
2. If your donor applied a promo code to reduce the ticket price, it is possible that they may not qualify for a tax receipt because the discounted amount might fall below the threshold set by the CRA. For more information on this topic, you can refer to this link.
3. Fees passed on to the donors directly are not tax receiptable. Please reach out to CRA directly to confirm this.
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