> Ironically, the demand for this increased transparency significantly increases compliance cost, which means more and more money is driven away from the actual cause toward the administrative costs.

I disagree.

If you are asking people for donations, then it is only fair that you provide transparency.

Donations are made out of pure goodwill. It is not like buying a widget from $megacorp.

I do not buy the "increased administrative costs" argument either. At a bare minimum all it would take is 5 minutes a month and a simple spreadsheet.