People will ask me when I ask for Gifts of Support for my music, why don’t I just say “Donate to me.” There is a legal precedent when it comes to Gifts as opposed to Donations. A good place to understand the definition of gift can be found at LegalMatch.com. They state:
For taxation purposes, courts look to see if a gift is detached with no interest to any legal or moral obligation, and without the intent of the donor (the person making the gift) to benefit from the gift in the future.Furthermore, a person’s gross income typically does not include the value of property acquired by devise, bequest, inheritance, or gift. Most states agree that a gift comes from a detached and disinterested generosity that stems from a person’s charity, affection, respect, admiration, or similar impulses. To determine if the property falls under the legal definition of a gift, courts will look to the intent of the donor.
So, what is the big deal? It comes down to taxes. A donation can be made, usually to a charitable non-profit and the expectation is that there is a possible deduction for the person who donates. Since I am officially not registered as a not-for-profit (though realistically being an artist is all about non-profit it seems) I don’t have that capacity to offer a deduction.
All the legality aside, what is important is that what truly is happening when people support the cause of my artistic endeavors is that it is a gift. There are no expectations from my end that I will receive such support and when it does happen, I am very touched to receive a gift of such support, even if it is, as LegalMatch says, "disinterested generosity.” I hope more people are disinterested, then.
Why does such support matter? Take for instance creating a song from scratch. To professionally record and produce one of my songs correctly (i.e., working with an engineer and adding some live elements such as drums to create a recording that can stand next to a major label recording) runs about $400 a song. Albums consist of about 10 songs. I currently have about four albums-plus worth of material. The music helps the YouTube show, which incidentally helps the music, art and podcasts not only myself, but some of my contributors to the show. In other words, the gifts that I receive allow production to continue apace. They keep this Joy Machine going.
Buying my art or downloading a song is another venue. That venue is taxable under law. You don’t pay the tax per se, but I will through the various websites that carry my songs and the site that fulfills my artwork. While selling is great, the creative part of it pretty much comes from those Gifts of Support I receive. That is why the site Buy Me A Coffee is such a great help. It makes sending support and a gift fairly easy. They deduct a portion of whatever is sent to run their business and so, I guess in a way, you can’t escape the taxman.
That all said, any amount that can help make my artistic endeavors go farther and keep the Joy Machine running is deeply needed and appreciated. The more Gifts, the more I can do.
Read Martin's other blog this week by clicking here.