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Thinking about giving this holiday season? Here are five tips to help ensure that your contribution is going to a charity in need for a cause you support.

1- Research the charity. Understand how your money will be used by the charity before you donate. Websites like the Better Business Bureau’s Wise Giving Alliance and Charity Navigator make it easy to find this information.

2- Know who’s asking you for money. Ask if the person contacting you for a donation is a paid fundraiser. A paid fundraiser is paid to raise money on behalf of a charity, but is not an employee of the charity. These payment arrangements can vary widely. For information about the payment arrangement between the paid fundraiser and the charity, visit the “Charities” page on the Consumer Assistance Program’s website, or call 1-800-649-2424.

3- Don’t feel pressured to give over the phone. If you are interested in donating, but don’t want to give payment information over the phone, ask the charity to mail you information. This will give you more time to make your decision and research the charity.

4- Be cautious of scams. Fraudsters use the same contact methods as legitimate charities (phone, mail, email) and will try to trick you into “donating” money. Be wary of unsolicited emails asking you to donate, even if the email looks legitimate or you have heard of the charity. Stop and think before you click the link! Call the charity at a verified number and ask if they are collecting donations by email, or hover your cursor over the link before clicking on it. If there is a redirected link that does not go to the charity’s website, it could be a scam. If you receive a request for a donation by phone, ask for detailed information about the charity, including the exact name of the charity and how your money will be used. If the solicitor refuses to give this information, or if they ask you to pay by wire transfer, cash, or prepaid gift card—don’t engage! It’s likely a scam.

5- Consider volunteering. Giving comes in more ways than just money. If you are interested in volunteering this holiday season, contact a charity in your community to see how you can help. Giving your time can be just as valuable as giving your money.

The Internal Revenue Service announced today that the publicly available data it provides on electronically filed Forms 990 in a machine-readable format will be available solely on the Tax Exempt Organization Search webpage.

Beginning December 31, 2021, the IRS will no longer update the Form 990 Series data on Amazon Web Services. This change is to provide access to public data for organizations with tax-exempt status in one location on IRS.gov on the Charities and Nonprofits webpage.

The Tax Exempt Organization Search Bulk Data Downloads webpage has multiple data sets of information about organizations’ tax-exempt status and filings with instruction on how to download.

The Form 990 series data set includes XML and individual PDF files of Form 990, Return of Organization Exempt from Income Tax; Form 990-EZ, Short Form Return of Organization Exempt from Income Tax; and Form 990-PF, Return of Private Foundation and related schedules. The IRS redacts personally identifiable tax-identification numbers to prevent the data’s misuse.

The Form 990 series returns are the primary tool for IRS to gather information about tax-exempt organizations and promote compliance with tax-law requirements. Organizations also use the Form 990 to share information with the public about their programs. Additionally, most states rely on the Form 990 to perform charitable and other regulatory oversight and to satisfy state income tax filing requirements for organizations claiming exemption from state income tax.

A tax-exempt organization must file an annual information return or notice with the IRS unless an exception applies. Annual information returns include Form 990, Form 990-EZ and Form 990-PF. Form 990-N (e-Postcard) is an annual notice.

For updates on TEOS and other issues related to charities and nonprofits, please subscribe to the Exempt Organization Update newsletter.

Attorney General Patrick Morrisey encouraged West Virginians to give to charity this holiday season but to exercise caution before making any donations.

“As we get closer to the holidays, a lot of people tend to give to charitable causes,” Attorney General Morrisey said. “We want people to continue to do that, but it’s also important that they take steps to make sure they’re not getting ripped off by those who would prey upon the goodwill of others. Donate with your heart, but don’t forget to use your head.”

Anyone with questions about the legitimacy of a charity or organization can review the Secretary of State’s website to see if the charity is registered to solicit donations in West Virginia. Consumers may also research the charity on websites such as CharityNavigator.org or GuideStar.org.

Those interested in knowing if a donation is tax-deductible can access the U.S. Internal Revenue Service’s Tax Exempt Organization Search at https://apps.irs.gov/app/eos/.

Those making an online contribution should make sure the website starts with https:// when visiting the donation portal. This verifies a secure connection, making it less likely that personal information will be stolen.

Additional tips to keep in mind during the season of giving are:

• Never feel pressured to donate immediately.
• Be wary of charities that ask for donations in cash or via wire transfer.
• If the organization is unfamiliar, research as much information as possible.
• Beware some scams may use sympathetic-sounding names that are similar to the names of legitimate charities.
• Be suspicious if organizations will not give additional information about their mission, how they use donations or proof that a contribution is tax deductible.
• If a donation request is for a local chapter of an organization, verify it is authorized to solicit funds on behalf of the parent organization.
• Go directly to the charity or organization’s website instead of clicking on a link to the desired group.
• Keep records. Contributions exceeding $250 should result in a returned letter confirming the charitable status of the organization as well as the amount of the donation.

The advice comes as part of the Attorney General’s Holiday Consumer Protection Week.

Anyone who feels as though they have been scammed while giving to a charity should call the Attorney General’s Consumer Protection Division at 1-800-368-8808, the Eastern Panhandle Consumer Protection Office in Martinsburg at 304-267-0239 or visit the office online at www.wvago.gov.  

Today in Santa Barbara, California Attorney General Rob Bonta joined Unity Shoppe Inc. to share tips and resources on how to avoid scams while donating this holiday season. Attorney General Bonta has the primary responsibility for supervising charities and the professional fundraisers who solicit on their behalf in California. Under Government Code section 12598, the Attorney General may investigate and bring legal actions against charities that misuse charitable assets or engage in fraudulent fundraising practices. In providing today’s tips, Attorney General Bonta encourages donors to take the necessary steps to ensure that their donations get into the correct hands. 

“This time of year, residents of Santa Barbara are stepping up to support one another by giving both their time and donations to local nonprofit organizations. One of those nonprofits being Unity Shoppe, whose volunteers and donors help provide food and critical support services to those in need,” said Attorney General Bonta. “Many depend on the generosity of residents throughout our state, which is why it is important to make sure that you are contributing to legitimate charities, such as Unity Shoppe. As Attorney General, my office is committed to protecting donors from deceptive solicitations. You can help our efforts by taking essential steps in researching charities before giving this holiday season. If you believe that a charity or fundraiser has acted in bad faith, please report it immediately at oag.ca.gov/charities/complaints.”

“Day in and day out, and for more than a century, Unity Shoppe has held the trust of the community by working in a manner that is reliable, welcoming, and inclusive, and that meets the critical needs of our most vulnerable residents,” said Tom Reed, Executive Director of Unity Shoppe Inc. “I couldn’t be more proud and grateful for our community of volunteers and donors, small and large, who entrust us with this important work.”

Donation Tips

• Check the Registration Status: Charities operating in California and telemarketers soliciting donations in California are required to register with the Attorney General’s Registry of Charitable Trusts. They are also required to file annual financial reports, which are made available to the public. Prior to making a donation, make sure to confirm that the charity is registered and up-to-date with its financial reporting by searching the Attorney General’s Registry of Charitable Trusts’ database, located here.
• Give to Organizations You Trust: Do your research before giving. Review the charity’s purpose and find out how the charity spends its donations. How much is spent directly on the charitable cause? How much goes to overhead and employee compensation? Research charities in your community and support those charities that make a positive impact. If you choose to donate to a charity you are unfamiliar with, contact the charity and ask for information in writing about its programs and finances. You should also confirm the charity’s name, address, and its nonprofit status. 
• Be Wary of Social Network Fundraising: If you are planning to donate through a social network solicitation, first do some research. Find out what percentage is going to the charity, whether you will be charged a fee, or if a percentage of your donation will be paid to the platform website. 
• Don’t Be Pressured by Telemarketers – Ask Questions Before Donating: If you receive a call from a telemarketer, ask for the name of the fundraising organization, whether it is registered with the Attorney General’s Office, the name of the charity benefitting from the solicitation, how much of your donation will go to charity and how much to the telemarketer, and the direct telephone number of the charity. If the telemarketer tells you the donation is for your local animal shelter, hospital, school, police, firefighter, or other public safety agency, check directly with the benefitting organization to confirm that it authorized the solicitation and will actually benefit from your donation. Don’t fall for pressure tactics or threats. Remember that you have the right to reject the donation appeal and if you feel pressured or threatened, just hang up.
• Be Vigilant When Donating After Natural Disasters or Tragedies: Well-intentioned or otherwise, charities are sometimes formed overnight to address calamities. As a result, oftentimes they lack the experience, contacts, and staff needed to respond to a disaster. Fraudsters are always seeking to capitalize on people’s desire to help. Even during a crisis, make sure to take your time to research a charity before giving.
• Watch Out for Similar-Sounding Names, Web Addresses, and Other Deceptive Tactics: Fraudulent organizations may use names that closely resemble those of well-established charitable organizations in order to mislead donors. Look out for fraudulent websites that have a slightly different web address (URL) than that of a legitimate charitable organization. Similar-looking URLs are sometimes purchased by fraudsters to lure in would-be donors. These sites may ask you for personal information or install harmful material onto your device. Be skeptical if someone thanks you for a pledge you never made, and always check your records. 
• Understand the Difference Between “Tax-Exempt” and “Tax-Deductible”: Being a nonprofit does not mean the organization is exempt from taxation, or that your donation is tax-deductible. Generally, a tax-exempt organization is exempt from paying tax on its income and gifts, but may or may not be able to offer a charitable tax deduction to donors for their contributions. Just because an organization has a “Tax ID Number” or provides donors with a receipt that says “keep this receipt for your records” does not mean that the organization is a charity, tax-exempt, or that your donation is tax-deductible. A few tax-exempt organizations – most notably those given 501(c)(3) tax-exempt status by the Internal Revenue Service (IRS) – are able to offer charitable tax deductions for your donations. If you are not sure whether your donation is tax-deductible, verify the charity’s tax-exempt status by using the tools and information located on the IRS website.
• Consider the Costs of Gifts and Merchandise: Gifts that you receive from a charity in exchange for your donation cost money and generally, these expenses are paid from donated funds. The value of the goods and services that you receive for your donation is not tax-deductible. Some charities may sell merchandise online and claim that “100% of the proceeds” will benefit its charitable purpose. However, this does not necessarily mean that 100% of the sales price of the merchandise will go to charity, and the cost of the merchandise itself can greatly reduce the value of your donation.
• Protect Your Identity: Never give your Social Security number or other personal information in response to a charitable solicitation. Never give out credit card information to an organization unfamiliar to you. Some organizations sell or rent their donor lists to other organizations, including organizations that are not charities. Review the charity’s privacy policy to find out if your information will be shared with outside companies.