Donating cryptocurrency directly to a 501c3 nonprofit is a tax efficient way to make an impact and save you money.
Cryptocurrency is classified as property by the IRS, which means it is typically the most tax efficient way to support your favorite cause (like MCS!). When donating crypto, you receive a tax deduction for the fair market value of the crypto, and avoid the capital gains tax you would have incurred if you had sold the crypto and then made a donation. That means you’re able to donate more, as well as deduct more on your tax return. The difference? Sometimes more than 30%.
Curious to learn more? Talk to a crypto-savvy tax professional or connect with The Giving Block to get connected with one. If you want to learn more about how donating crypto can lower your taxes, check out thegivingblock.com/faq.