Do i need to claim funds raised donation from a fund raiser to help with medical expenses?

[MaryK1]

Were you the recipient of the funds or did you host the fundraiser?

[evanvanderwall]

I was the recipient, but hosted the fundraiser on youcaring.com

[evanvanderwall]

Great! so would I need to make sure to NOT deduct the medical expenses associated with the fundraiser? since the fundraiser paid for the expenses?

[MaryK1 · Accepted solution]

No, if you were the recipient, you would not have to report or pay tax on the income- it would be considered a gift which is not taxable to the recipient.  Just be sure to keep the records of how much you received in case the IRS did ask..

[evanvanderwall]

Great! so would I need to make sure to NOT deduct the medical expenses associated with the fundraiser? since the fundraiser paid for the expenses?

[MaryK1]

Correct- I had added to keep track of the specific medical expenses even though it is not required, but it is a good idea to show that you did dedicate the money to specific medical expenses

[evanvanderwall]

Thank you so much!!!

[MaryK1]

Technically, as a gift, if it is given with the requirement that you MUST (in which case written documentation would be a good idea) use it for medical expenses, you may be able to argue that it would be deductible (based on legal case law) but it is not 100% guaranteed and honestly, it would not be worth the hassle of a fight especially because it would jeopardize the future ability of these types of fundraisers. (just my opinion, you need to concentrate on getting well)

[evanvanderwall]

Thank you for your advice! you've been really helpful!