UpdatedMon, Apr 26, 2021 at 8:30 am ET
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Louis Goffinet raised more than $40,000 to help families during the coronavirus pandemic and said he received a hefty tax bill saying the money counted as income. (Patch graphic)
MANSFIELD, CT When the pandemic hit last year, a Mansfield teacher stepped up, offering to go grocery shopping for family and friends.
One family reached out to Louis Goffinet saying they were tight on money after being laid off, according to Fox 61. Goffinet started a fundraiser with a $200 goal to help the family. That goal was quickly smashed and people donated generously.
Goffinet eventually raised more than $40,000. He used the funds for 150 grocery trips, 20 gift cards, and Thanksgiving dinners for 30 local families. Goffinet, 27, an eighth grade math and science teacher, called the experience the most rewarding thing I ve ever done, according to CBS News.
And GoFundMe states its fundraisers are usually considered to be personal gifts which, for the most part, aren’t taxed as income, but there are some exceptions.
GoFundMe adds there may be particular case-specific instances where the income is, in fact, taxable for organizers that depend on the amounts received and how the funds are used.
Rick Cohen, chief operating officer and spokesman for the National Council of Nonprofits, hopes Louis Goffinet, the teacher who raised over $40,000 in a fundraiser on Facebook to help buy groceries for neighbors struggling during the pandemic, doesn t have to pay the price for simply doing a good deed. Cohen said that using third-party platforms like Facebook to get funds meant Goffinet actually received personal income since he doesn t have an accredited nonprofit and the donations are currently not considered tax-deductible.
Could your Facebook fundraiser or GoFundMe land you a big tax bill? Here's what to know before you start one yahoo.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from yahoo.com Daily Mail and Mail on Sunday newspapers.