How to Donate to a Political Campaign

If you are considering donating to a political campaign, you should be familiar with the campaign finance process in the United States. There are two types of funding sources: private and public financing. Decide which type of donor you would like to be before you donate to the candidate or issue you want to endorse.

Difficulty: Moderate

Instructions

Donate as a Private Entity

1. Donate as a corporation, sole proprietor or individual to a specific campaign. You can achieve this by logging onto a website, by calling a toll free number and donating by credit card, or by sending in a check to the campaign headquarters.

2. Be prepared for your donation to be made public when quarterly fundraising budgets are reviewed. All candidates or special-interest groups must be monitored quarterly for the sources of their funding and the amounts to avoid political corruption and bribery.

3. Know that political campaign contributions are not eligible for a tax deduction. You can however, donate to a non-profit organization that distributes money to various organizations, including political ones, and realize a tax-deductible benefit.

Contribute to the Public Financing Fund

4. Contribute to the public source of funding which is made up of public donations and your tax dollars. There are a variety of ways that you can donate to a political campaign through the umbrella of a public financing source. All contributions made to a public source are a tax write-off for the individual or for a business.

5. Check the box on your tax return that allows the government to contribute $1 from you and $1 from your spouse if applicable. This is another way you can contribute to the public source of financing.

6. Donate to campaign funding programs that match private donations up to a certain amount. There are many public programs that do this in order to instill a balance of funding sources in any particular campaign.

Tips & Warnings

• It is recommended that you be registered to vote when you make a donation. You must fill out a voter registration application no later than two weeks before Election Day.
• Avoid the urge to expect something in return when you donate to a particular candidate or issue. This is illegal and can be punishable by fines and prison.
• Observe donation limits as dictated by campaign regulations.

[monomdeplume]

on 11/21/2009 very interesting! I am interested in donating money to non profits that funnel their money to PAC's that interest me and receiving a tax deduction at the same time. This provided me with some very useful information.