We know that the stress of tax season can be overwhelming for non-profits, so we make it easy to mail professional tax summaries. In this article, we'll explain how you can…
- See exactly which donors can receive a tax summary via mail, and which ones can't
- Include a cover letter with your tax summary to include a call-to-action or year-in-review
- Automatically log on donors’ profiles that you sent them their tax summaries
Note: This feature is specifically geared towards Kindful users based in Canada who have CRA mode enabled.
Enable CRA mode:
On Kindful's General Settings page:
- Add your Tax ID/CRA # in the Tax ID Field.
- Enter a postal code and ensure your account’s Country is set to Canada.
- Upload a Transaction Signature Image. (Scroll to the Images section, and the last option you'll see is Transaction Receipt Signature.)
On Kindful's Transaction Settings page:
- In the Receipts section, enable the “Include PDF…” option.
- Set the PDF Receipt Template to "Official Tax Receipt."
Best practices to prepare your data
Before you get started sending your tax summaries, it's important that the data in your Kindful account is clean, and that your account settings are accurate. Complete some or all of the steps below before proceeding:
✅ Enter all your donations from the previous year into your account.
✅ Merge your duplicate contacts. Learn more about merging here.
✅ Create a cover letter in your letter templates.
✅ Make sure your mailing addresses are up-to-date by investing in an NCOA scrub.
✅ Verify your organization's information in your General Settings.
✅ Verify your account has CRA Mode enabled.
Creating your cover letter
When your donors receive their tax summaries, it's best to include a cover letter to add a personal touch. Your cover letter is an opportunity to include a call-to-action, a year-in-review, or your vision for your organization in the coming year.
Create this cover letter using an email/letter template. Learn more about letter templates here.
It's important that the email/letter template you choose for your tax summaries does not include any dynamic tags related to transactions since your tax summary will already display details on the donor’s past year of giving. Do not include the following tags:
Sending your tax summaries
To access your Tax Summaries Tool, go to Communication > Tax Summaries.
Please note: CRA Mode must be enabled to access this feature.
Here on the Tax Summaries tool, we've broken down your previous year activity into two sections:
- Some transactions are not eligible for a receipt
- Some donors can be mailed a tax summary
Section 1: "Some transactions are not eligible for a receipt"
Characteristics of the transactions in this section:
- Are ineligible for receipting
- The transaction is voided or canceled, or
- The associated contact is missing a mailing address
- View List – This button takes you to a filtered view of the transactions that meet the criteria above.
Section 2: "Some donors can be mailed a tax summary"
Characteristics of the contacts in this section:
- Have a mailing address and at least one eligible transaction for the applicable calendar year
- Per CRA guidelines, the sum of their gross transaction amounts minus the sum of their non-tax deductible amounts must be greater than 20% of the sum of their total transactions for the applicable calendar year
- “Applicable calendar year” is either (a) the current calendar year if this is December, or (b) last calendar year
Available actions (this is the section where you create the CRA Tax Summaries):
- View List – This button takes you to a filtered view of the contacts who meet the criteria above.
- Get Started – This button allows you to include a cover letter and generate your PDF tax summaries to download with your envelopes and/or labels. Once generated, these will appear in the Communication > Mailings page in Kindful.
After your tax summaries are sent
Congratulations! 🎉 You just sent your tax summaries to your donors.
Let's go over what to expect now that you've sent them.
Once you clicked "Generate PDFs" in section 2, all those tax summaries were sent to the Communication > Mailings page in Kindful for you to download and print for sending via postal mail.
When you're downloading the PDFs, you will see an option in the same row of the mailer you generated called “Confirm Letter Sent”. When you’ve mailed out the tax summaries to donors, come back to this page and click the button that says "Confirm Letter Sent" on the far right side of each tax summary on the Mailings page.
Doing so will add a “received letter” note to the profiles of contacts who received their tax summary via mail, as shown in this example:
Read this FAQ article for more help with CRA Tax Summaries.