How To Donate Used Cars

Donation of used car is an easy way of disposing them without a lot of hustle. Critics in the United States claim that by donating a car is another way of tax shelter.

When an individual decides to donate used cars, it is easy to process ones lawful IRS deduction in tax, it is important to report to the required authorities when intending to donate in order not to cause confusion in the motor vehicle registration department.

When a person donate used cars is an easy way of avoiding running up and down advertising and making phone calls trying to sell a car.

Some of the advantages of donating used cars is that it helps find missing children, support decisions that make the community a better place for growing children and even avoid children going missing even in the first place.

There are those organizations known as donation program where cars, trucks, boats and trailers may be donated.

When a person decides to pledge a donation, the matter is taken up by vehicle donation processing center where all the paper work and documentations are handled.

Payments for all the administering of the program are handled by the organization a person is dealing with. When one decides to donate used cars, an individual tax is reduced by about $654 million per year in the US only.

Because most people donate vehicles with an intention to have an upper hand on tax deductions, the donor needs to go through some requirements on the post

Donate A Car To Charity And Help A Person In Need

There are people all over the country that have multiple vehicles, and more often than not, at least one of them is an older model or does not run properly, in some cases at all. Many people choose to park these extra vehicles on the side of their house or in their backyards, so that they are out of the way. In some extreme cases, there are people who may have four or five cars parked in the backyard because it can be difficult to sell them to someone when they do not work. However, some people are interested in buying old vehicles whether they work or not because they plan to strip them of their functioning parts to use in a different car that they maybe rebuilding. Instead of trying to sell that old clunker, people should look into donating it to a charity. When someone decides to donate a Car to charity, he or she is able to use it as a tax deduction for that year. Therefore, instead of having that old car take up space on your property you can just donate it and actually get something for it. Almost every car donation company offers a free towing service, so if the car does not run right or does not even start they will come to the house and pick it up. All of the cars that are donated go to help different families and organizations in need of transportation. The companies that take these cars make the necessary repairs to them so that they are once again operational; then they are given to someone else. The program to donate used cars is one of the best ways that a person can recycle; they are helping to reduce the wasted space and giving back to the community. There are many people out there, whose lives have immensely changed for the better, all because of the generosity of another person.

Help a Sick Child by Donating Your Car

       Though you may have seen dozens of ads that advertise how you can get a tax deduction with the donation of your car, if you’re looking for a way to make a difference in someone’s life, donate your car to charitydispatch.com

       Though charitydispatch.com represents many charities that accept car donations, Feel Better Kids, Inc. is a nationwide charity that offers a service to sick children and their families that is so desperately needed.

       Everyone is concerned with the high costs of healthcare and health insurance. Just think about how terrifying it would be to be faced with the disability or terminal illness of your child when you have little or even no insurance.

       Feel Better Kids, Inc. was established to aid children ages seventeen and younger who are disabled or terminally ill. The children assisted by this organization are from moderate income families with little or no health insurance. Going beyond

Donate a Car to Charity

 

You may have heard of all sorts of ways to donate to charities, but not many people have thought of donating a car. When you donate a car to a charity, you are doing something great for the charity that you choose to donate to. It has also come to many people’s attention how donating to a charity can be used as a tax deduction.

 

Now, you may wonder how one goes about donating a car to charity. You can do so through companies like www.charitydispatch.com. Companies like Charity Dispatch do not donate your actual car to charity, rather they sell the car and the proceeds go to the charity of your choice. It is made simple, so you have no worries about the hassles it can cause when done yourself. If you aren’t sure which charity you would like to donate to, www.charitydispatch.com can help you figure it out. This option is perfect for those who are looking to get rid of a car or are having a hard time selling it. Instead of giving it to a scrap yard for a couple bucks, donate it to a great cause. Your car donation raises money for charities to support their services.

 

The process of donating the car is made simple with charitydispatch.com; all you have to do is give them a call anytime. They are open 24-7, so you will get in contact with a live agent every time. You won’t even have to worry about getting the car to the grounds because they will pick it up for you, no matter what condition it is in. So if you have a junk car that isn’t working, donate it to charity!

 

Most charity donation companies require you to bring the items you are donating, such as clothes, toys and furniture, which causes many people to turn to more convenient ways of getting rid of the stuff

Donate Your Car to a Worthy Charity That Will Do Some Good With the Old Rust Bucket

Charities will take almost anything to help the cause from money, clothes and even a car donation. California as the leading car ownership state in the United States has a lot to give.Consider the number of older vehicles traveling on the freeways of California. The Automobile industry has thrived in the excess of the Los Angeles drivers need for better and newer cars than what they had the year before. But the value of trade ins when trying to get a better deal on a brand new car often isn’t worth the time it took to drive it on to the lot. It is common knowledge that once a new car or even a used car, has been driven off the car lot and hits the street, its retail value for resale drops considerably. For the car owner who wishes to extract some monetary worth from their trusted mechanical steed the choices of either a trade in or resale can look fairly grim. The dealer isn’t going to give a real market value for the vehicle because that would take more profit out of his pocket. Trying to sell the car yourself isn’t the easiest thing in the world either. First you have to make sure the auto is in proper working condition which can mean pouring more money into something that you want to get money from

Car Donation - Get The Facts First Before You Donate A Car

Look around the yard, do you have an old car you want to or should get rid of? Is the car just taking up precious space and slowly deteriorating from lack of maintenance and proper care because you don’t need it? Then for you a charitable car donation may be worth more than using the car as a trade-in or in any other way. If you decide to donate a car and the car donation is accepted, the charity arranges for and takes care of any towing expenses and provides you with the necessary documents for your tax return.
Donating a car eliminates the expense of any advertising, the loss of privacy and possible security risk from potential buyers. No need to pay for annual vehicle registration and/or emissions testing or insurance, and no need for any repairs to keep your car in running condition while you wait for a buyer. It’s easy, just fill out the forms the charity gives you and have them ready for the driver when he comes to pick up the car. A large chunk of your car donation money when it’s received by the charity after they sell the vehicle, should not taken out for administrative fees or investments. Make sure to find out how much of your donation money goes for these fees.
Your car, truck, RV, boat, aircraft or other vehicle is usually marketed by the charity through various means including their own car lots and middlemen and sold to a buyer who is in need of a good used vehicle. If you’re thinking about donating your automobile to charity, be sure to check out thoroughly the charity or car donation program that handles the donation. Certain commercial firms and trade organizations publish guides known as ‘blue books,’ that state the average resale prices based on the model and year of your vehicle. You can find these blue books at your library in the reference section or online.
If your auto, truck, boat, motorcycle, RV or other vehicle is no longer of use to you, it can still go a long way toward helping support a reputable charity of your choice. Best of all, by not selling the car yourself, you don’t have to worry or wonder about total strangers calling you and getting information about where you live, or coming to your house to see the car or other vehicle.
Charities don’t need to send you a form for cars that eventually sell for less than $500, but you’ll still be able to deduct up to $500 on your tax return.
If it’s necessary to go through a car donation program middleman, which you can find online, find out what percentage of your donation will go to charity and shop around for the best deal. There are a quite a few of them online.
As for your benefits, you as the donor of the car benefits from the donation by receiving a tax receipt for the highest possible value of the vehicle.
Make sure you have easy access to the title of the vehicle. If you have an unused vehicle just sitting around, you never know when a storm might cause damage to your vehicle or if it might get vandalized or if it’s on the street get involved in an accident. Some charities that run their own program, instead of hiring a car donation program middleman, are discriminating about which vehicles they will accept, repair and materially improve. They sell most of their vehicles at retail prices. One thing to note, your vehicle must have all four of its tires inflated to be accepted.
Important, one of the exceptions to the new IRS tax regulations allows donors to still deduct the fair market value of their vehicle, provided the charity materially improves the vehicle. Charities usually provide you with a release of liability when they take your vehicle away. After the car sells, they send you a tax-deduction form that explains how much they received for your car.
Charities look at car donations from both the point of view of the donor of the car and of themselves as the charity receiving it. You can get a car donation tax deduction up to the maximum limits allowed by the IRS. You may also donate your car online to individual charities or through the car donation programs, some of which contract with charities.
It used to be able that you could deduct the fair market value of the vehicle at the time of the deduction – but not anymore. In wear and tear, minor repairs and breakdowns, an average vehicle owner might spend more than $3000 per year so a good reason not to keep the extra car around. In the end the donor is responsible to an extent to ascertain the value of their car donation after discussing with the charity.
A charity car donation is becoming more common as people discover the nice car donation tax deduction that is available. Choosing the best charity for your car donation can be overwhelming and you want to make sure your choice is the best and right choice for you. Why not donate your car, truck, boat, RV, motorcycle or even aircraft today and enjoy a nice car donation tax deduction on your annual income tax return.

Choose a Right Charity to Donate Your Car

Donating a car can help people who are poor while get a substantial tax deduction. More and more non-profit organizations in the US are relying on the revenue from car donations. Since the law about car donations is revised in the year of 2004, many donators begin to use it to reduce their taxes. Until now the system has been used by taxpayers for years, focusing on how much deduction they can get on their tax return.

When you choose a charity to donate your own car, you need not only to know how much tax you can save, but also know how the organization processes your car. Many charities run donation programs. Some have their own car lots which sell the donated cars but many have their donations processed through auto auction companies. Many processing companies also collect and sell donated cars and distribute the money to a charity the donor indicates. The processing company typically takes a percentage of the sale value of the car, but these programs allow charities without their own facilities or staff dedicated to automotive donation fund raising to benefit from vehicle donation programs. These companies handle all the details of your donation and most will even arrange for your car to be picked up or towed. Most car donation companies offer you a choice of charities to make your donation to.

Not every car can be received as donation by charity organizations; the quality of a used car is the important factor to determine it. Before you donate your old car, assess the value of your car. Look up your car’s fair market value. Be realistic about your car’s condition. Photograph both the interior and exterior of the automobile. If you have made recent improvements to your car, you must save the receipts for things like tires and other major repairs. Keep all documentation of your car donation. You will need to submit the documents when you file your taxes. Charities may use your car within their organization. They may also choose to improve the car or give the car to a needy person.

There is no problem with making your donation to any religious organization. Some charities are not in the automobile donation business, and they only receive a flat fee, like $50, for your donation. If this is an important consideration in choosing a worthwhile charity, you should pay attention to it.

Tax Advantages For Donating Your Car

When you have a car that you want to get rid of, it is often easier to donate it than sell it. While donation may not sound appealing, you have to consider the tax benefits of donating a car. However, in order to reap the full benefits, you must donate it in the proper way.First, tax rules have changed regarding vehicle donations. At one time you could write off the fair market value of the car. People were taking advantage of this process, which led to reform. The reform was necessary because people were deducting a great deal more than their vehicle was worth. The government was losing a lot of money due to this fraudulent behavior. Now, if you claim the value of the car to be more than $500, you have to claim the amount the charity you donated it to sold it for.That means you could end up with a tiny tax donation. Often, charities are not able to make a great deal of money off the cars that are donated to them. You could have a car with a fair market value of $2000, and the charity could sell it for $500. That would be devastating, as it would not help you very much on your taxes.Luckily, there is a way around this. Instead of donating it to a charity that will auction it off, donate it to a charity that will use it. For example, there is a charity called Charity Cars. Charity Cars uses the donated vehicles for their business, which means you can deduct the market value of the car. The reason you are able to do this is simple. When a charity is actually going to use your vehicle, it falls under a different category when you file your taxes. When a charity auctions off your car, it is seen as a cash donation more so than anything else. When the charity actually uses your car, you are able to write off the actual car.When you deduct the market value of the car, it can become cash in your pocket at tax time. You will get to put that deduction down, and then you will get a refund. The refund will be based on the fair market value of the car, along with your tax bracket.This is a great way to make extra money at tax time, as well as do something good for others. There are many organizations around that offer this and you want to go with one that uses the cars for their business so you can get the maximum benefits.This is an easy alternative to selling, and you will get some money at tax time. Do your research and use the charity that will benefit you the most. Then, you simply need to call them up and tell them you would like to donate your car. In most cases, they will pick it up. You will get some paperwork to help at tax time, and then you will get your deduction.

Car Donation Tax Deduction - 3 Best Tips To Help You Donate Your Car

If you’re thinking about donating your car or truck to a local or national charity, here are a few tips that you should know. There are a few problems you can avoid if you do a little research first. Ultimately your goal may be to gain a good car donation tax deduction. The change in the tax laws make it easier now to get a good deduction.
1. How the car donation charity uses your donated car. Decide whether it’s important to you or not if you know how the charity is going to use your car. If so, you may want to give them a call. They may sell it on a used car lot they maintain or farm it out to a charity car donation program or sell it on their own car lot. They may use the car to transport people or goods for their charitable work. Or they may give the car to a needy individual.
2. How much money will the charity actually get from you car donation. If the charity plans to sell the car it will probably not get the ‘blue book’ value of the car. There also will be expenses directly related to the sale – newspaper classified ads or their car lot costs, both which will reduce the negotiated selling price
If they farm it out to a car donation charity program, they’ve contracted with, to sell then they will get a lot less for it. And of course if they use it themselves or give it away then their won’t be a monetary gain.
3. Before you donate your car to any charity you want to make sure it’s a legitimate charity. If it’s a large national organization then there will be less of a problem. If it’s a local charity then you may have to do some checking. You want to make sure they’re eligible to receive contributions that are tax deductible, so you’ll receive the car donation tax deduction. So ask them if they have the “letter of determination” from the IRS.
Many charities accept cars, truck, and other vehicles and are not tied into providing you with a tax deduction. Make sure to find this out in advance.
These are just a few of the tips you’ll need to know if you plan to donate your car to a charity. Make sure to do a little research first to make sure you understand just how much you may get for your car donation tax deduction if they sell it, give it away or keep it.

Are You the Type of Person Who Will Donate a Car to Charity?

Though the average person who was liable to donate a car to charitable organizations once included just about everyone in the late 1990s and early ‘aughts, changes in IRS regulations and rules governing deductibles since 2005 has made for a subtle demographic shift towards the upper-middle class with regards to just who will donate a car to a charitable or non-profit organization (NPO).
This is true for several different reasons. For starters, those who are self-employed are far more likely to take itemized deductions since such workers have far more upward mobility than a given employee. They also tend to make a lot more from such ventures. Self employment also means that you pay your own contributions as well as those normally picked up by an employer. This double taxation leaves many of the self-employed on a constant lookout for deduction possibilities. When you donate a car to charity you can make up several thousand dollars at a time in deductions – sometimes enough to bump you into a lower bracket.
Of course, not everyone who wants to donate a car is interested in the deduction. There will always be people who just want their old junker cars to go away and many of the ads imploring you to donate a car rely upon the offer of free towing (and sometimes a hotel or cruise voucher) to help get low-value cars from far less off individuals than the PhDs who are donating perfectly good cars.
However, in yet another installment of how it pays to have a few extra coins to rub together, those who are able to afford to give a working car find that it is likely to be used for transport rather than sold at wholesale auction. This other type of use occurs when you carefully choose a charity you trust, donate a car to it and find out 3 years later that it’s been used for various official functions and as transport for in-house needs that furthers the mission of the charity.
As such, those who already have some extra money to throw around are more likely to get the higher deductible that they’re more likely to be able to capitalize upon in the first place. That means the demographics of someone looking to donate a car have somewhat suddenly moved back to where they were before the advertising push of the 1990s. Though many middle class people might donate a car that doesn’t run very well, they won’t enjoy the higher level of benefits that a better quality donation typically garners.
But other than wealth, the other demographics of those who participate in charitable organizations when they donate a car include many of those who grew up using, or recently used, the services of such an organization. This gives one a good idea as to how non-monetary benefits work in the real world. The chance to give back to an organization that has helped one get back on their own two feet is an invaluable feeling of pride and accomplishment that the IRS cannot put a value upon.
So, despite recent setbacks in deduction amount for the typical donation from a mid-level income individual or family, this hasn’t stopped a segment of the population from donating scrap cars that they simply want hauled away as junk. This is especially true in the case of vehicles that have no chance to have a useful resale value whether conducting the transaction yourself or letting a car donation service take care of it.
The main difference between the classes of donation that have sprung up since the 2005 ruling means that if you choose to donate a car, it may not be very lucrative for the charity in question unless it’s running well and worth their while to fix up for use (rather than selling on the wholesale market), even if they don’t use a third-party donation agent.

New Rules for Donating your Car to Charity

In prior years, if you wanted to donate your car or other vehicle to a charity, it was easy. All it took was to select the charity, give them a call and they would pick it up and the ownership documentation. This part is still easy and many charities advertise how easy this part is for you.

If you want to claim a tax deduction for that car donation however, the tax rules have changed a little. The reason for the changes were because people were over-estimating the value of vehicles then taking the higher amount off on their income taxes.

First, to even qualify for this tax deduction, you need to be itemizing deductions on your income tax. This effectively eliminates everyone using a 1040 short form, or 1040EZ or those who don’t itemize. Further charitable deduction cannot be greater than 50% of your total income. I don’t quite understand why this matters to the government but it’s in the rules. Further, the amount you can deduct for the contribution depends on what the charity does with vehicle donations. Check the IRS resource publication 4303 at www.irs.gov for more information and details. Now is a good time to state that I am not a tax attorney, accountant or make my living working with the tax code. For more specific information on donating you car to charity or other related questions, I suggest contacting a local tax professional.

A 500 dollar deduction is the threshold for increased paperwork requirements. If however your charitable gift is worth over the 500 dollar limit, you need acknowledgement documentation from the charity. This is typically given to you when they pick up the vehicle. This document must have the following information for you to claim any amount over the 500 dollar basic deduction.

There are a few other details that should be included but this is the basic outline required.

The IRS also limits the value of the deduction to what the charity actually received from selling the vehicle. Generally however, you can use fair market value if certain rules are followed and you obtain a statement made by the charity regarding their plans for the vehicle. You may also be required to obtain written acknowledgement from the charity within 30 days from the date of the vehicles sale or 30 days from the date of donation.

So the value of the deduction is based on what the charity actually sold the vehicle for on the open market. Other rules apply if they decide to keep it but generally most charities of any size take their donated cars and simply sell them on the market. This means that if you donate your car to charity and it has a resale value of 5,000 dollars, you simply cannot legally take a 5,000 dollar deduction unless the charity actually sells the car for that amount, or is subject to the other rules.

If the charity sells your car for 400 dollars, even though it was worth 5,000, your legal deduction is only 400 dollars.

Finally, to make things even more complicated, the value of the vehicle cannot be more than the fair market value. The IRS publication noted above has specific explanations about how to determine value. I personally have simply sold the car and made a cash donation to he charity of my choice. Yes, it takes a little longer but I didn’t need to count on anyone else to provide the necessary documentation and there was no question about the value of the donation or deduction.

Tips For Donating Your Car to Charity

Donating your used vehicle to charity can be a very generous act. Worthwhile charities benefit greatly from donated vehicles either by using them directly or by selling the vehicle and using the profit for their organization. But if you’ve never donated a vehicle before, than where do you start? Here are some tips to make your donation an easy transaction.
Find the Right Charity
If you aren’t sure which charity to donate your car to then do a little research. However avoid the for-profit intermediary organizations that advertise to handle your car donation. These places tend to keep the majority of the money themselves. Some keep as much as 50 to 90 percent or even more for their pockets. Find a charitable organization that handles the donations themselves so they can keep 100 percent of the profits.
Make sure the charity is eligible to receive tax deductible contributions. Make sure they are a 501(c)(3) organization. Other organizations may claim to be a non-profit but may actually be a 501(c)(4) organization and donations to these types are generally not considered tax deductible. Ask for a copy of the organization’s IRS letter of determination which verifies its tax exempt status.
Value Your Car Correctly
The IRS has cracked down on car donations with the passage of the American Jobs Creation Act of 2004. Under this you can no longer claim fair market value for your donated car worth more than $500 but instead you must claim the amount that the charity sells your vehicle for. There are exceptions to this rule and fair market value determined by either Kelley Blue Book or NADA guide can be used when:

What to Consider When Making a Used Car Donation

Making a used car donation can help many people. If someone died or moved and they don’t want their car anymore, donating it is a great way to give back to the community while disposing of the vehicle.
Many used car donation services will pick up the used car for free and take it to the charity. Check your local telephone directory for such services and also search the internet. These services are not in many small towns yet but most large cities can coordinate the deal for you.
It is important to check with the IRS before making a used car donation. There are a few forms that will need to be filled out. The web site can also give an estimate as to the car’s worth.
The number will probably be different from its blue book value, so be sure to check the web site out before giving the car away. In some states, a tax break will only be given if the car is donated to a nationally recognized charity.
A complete list is available on the web site. Filling out the forms incorrectly could result in not getting the tax break. Once the paperwork has been filled out, get a receipt from the charity the car was donated to. This is the proof that will be necessary when claiming a charitable donation on a tax return. The IRS web site will provide all the information to donate the car and get a tax break.
Take a few moments to familiarize yourself with the forms, procedures and tax breaks. Donating a car can be a real joy to both the former owner and the charity.
Giving to a charity is a great way to help people in the community who are down on their luck. Donating items such as cars can greatly contribute to their well-being because the more vehicles a charity has, the faster they can get to people who need help. There are many charities that offer car services to the store or to the doctor.
Making a used car donation will not only yield a tax credit, it will make someone else’s life a little easier. Knowing that a person has made a difference is a good feeling.
You should always help your fellow man. It will come back to you many times over! I myself have experienced it and can not say enough about the way it makes me feel when I help those in need.

Car Donating Is A Good Way To Get Rid Of Your Used Car

Today donating a car is becoming more and more popular. Many of people, who want to get rid of his old car and get a brand new one, choose donate their old cars to charity organizations. In the United States, they can get tax benefit. As far as I know, if the value of a donated car is less than $500, the value of the tax deduction is part of the donor’s own estimate of his used car’s value. So some people think of this as a tax shelter, they find donating a car is a good way to help other people and themselves.

You should choose right way to give your car to a charity, being sure you can get the best tax deduction from it. Understand that the Internal Revenue Service revised the law in 2004 regarding how much you can deduct on your tax return. Until then, it was up to the taxpayer to decide how much his contribution was worth; and too often, the figure that was supplied exceeded to car’s value. Now, the charity must certify the selling price of the car, or the maximum amount of the deduction is $500.

Take some time to choose a qualified charity. There many charities run programs. For the maximum tax benefit, you must find a non-profit organization where the car donation will be used “in direct furtherance of the organization’s charitable purpose.” Examples would be either by the car being used in the business or the car being donated to a needy client. You also can contact a local or national charity directly to find out if they accept car donations and they will guide you through their donation process. If you’ve haven’t decided on a charity, the American Institute of Philanthropy has a list of charitable organizations and contact information for most charities, including the disabled or terminally ill.

Notice that many websites of car donation are scams, even though e-mail applications for a donated car are convenient and can save postage and time. Always verify the existence of a car donation program before submitting your personal information

Make Best Out of Waste: Donate Junk Car and Reap Benefits

Twenty years ago, the concept of accepting cars as a medium for raising capital was agreed upon by the charities. This idea went up booming so much so that many organizations involved with charity started doing it. Different organizations use the money for different purposes and therefore, it becomes necessary to be careful in selecting an organization for the purpose of charity. A very useful site for the same use is myjunkcardonation.com. It is very rewarding activity to donate a car for various reasons. The most important reason is that you can easily get rid of the junk car and at the same time can also do charity.

Donating a car is not only fruitful to you but also to the needy people and our website is specifically involved in helping the blind children. We being blessed with all the senses working properly cannot even think of a day without one of them not working then it is so hard to imagine the plight of the disabled kids! Myjunkcardonation.com helps these misfortunate children live a comfortable life and it would be our privilege if we can give a helping hand to this organization by simply doing the donation of a useless car.

The organization ensures to tow your junk car from anywhere in the whole of U.S. all you are supposed to do is to make a phone call and give details about the car and its location. The trained staff would come in only a few hours to collect the vehicle. Thus, it saves your valuable time.

Besides saving time and doing charity, myjunkcardonation.com helps in getting a deduction from tax. This acts as a much better deal for you than with any other junk yard dealers as they do not give you enough returns while selling your cars to them.

Donate a useless car and thereby help the blind children. This organization gives its charity to

Donating A Car - What IRS Want You To Know

When donating your car to your favorite charity, the Internal Revenue Service (IRS) wants you to be aware of certain pitfalls. After December 31, 2004, taxpayers planning their charitable giving, donors should understand the way that the American Jobs Creation Act of 2004 will alter the rules for the contribution of used motor vehicles, boats and planes.

When the claimed value of the donated motor vehicle exceeds $500 and the item is sold by the charitable organization, the taxpayer is limited to the gross proceeds from the sale. Under the rules in effect for 2004, taxpayers will be able to deduct the fair market value of the contributed property.

Here is what IRS officials recommend to people donating their cars:

Check the qualification of the Charity. Taxpayers should make sure that they contribute their car to an eligible organization, else their donation will not be tax deductible. They can use the IRS Website to check that an organization is qualified by searching Publication 78. Publication 78 contains a list of most organizations that are qualified to receive deductible contributions. Publication 78 is also available in many public libraries. If in doubt, you can call IRS Tax Exempt/Government Entities Customer Service at 1-877-829-5500.

You should take into the many factors into consideration to establish the fair market value of the car. Many used car buying guides contain step-by-step instructions so that readers can make adjustments to the value of a car for accessories, mileage and other indicators of its general condition. Publications like Publication 526, Charitable Deductions, and Publication 561 provided such details.

Taxpayers cannot take a deduction for car donations if they do not itemize deductions on their personal tax return. The decision to itemize is determined by whether their total itemized deductions are greater than the standard deduction.

Taxpayers must document the automobile donation and its fair market value. IRS Publication 526 details requirements for the types of receipts taxpayers must obtain and the forms they must file.

Some used car donation programs mistaken that donors can deduct the highest value listed in a used-car buyer’s guide regardless of the donated vehicle condition. The IRS only allows a deduction for the fair market value of the car. Fair market value takes into account many factors, including the vehicle’s condition.

Contact state charity and IRS officials when in doubt. You can call the IRS at 1-800-829-1040 or for TTY/TDD help, call 1-800-829-4059. IRS forms and publications can be found at IRS website www.irs.gov. A list of state charity official offices can also be found online.