6 Car Donation Tax Deduction Tips You Must Know

If you've never considered donating a car to charity,company to do so.
you might want to give the idea a second thought.3. You must also have the legal right to donate the
Donating a vehicle to charity is a wonderful thing to dovehicle. You will need to have the car's title, a copy of
for many different reasons. You avoid the hassle ofthe title, or other proof of ownership in order to prove
trying to sell it, you are doing something nice for others,that you are the legal owner. The charity will verify this
and best of all, you could get a nice big, fat, carso don't even think about trying to sell your neighbor's
donation tax deduction!car! You don't want to get into legal trouble later on
Charities are always in need of good used vehicles.down the road.
Even if your car is a total clunker, it doesn't matter! The4. After the charitable organization sells the vehicle in
charity will repair or fix the car so that it's in runningabout 30 days or so they will notify you as to how
order, then sell it at auction for a profit. The charitablemuch it was sold for.
institution is then able to use the money they make on5. You then can claim the car's resell value on your tax
the sale of the car for a worthwhile cause. It's areturn as a charitable donation.
win-win situation for both the donor and the charity.6. In order to claim the tax deduction for the car, you
If you think you might be interested in donating yourmust have a signed receipt or notification from the
car, here are 6 of the main fundamentals of thecharity that recognizes the car donation.
process you'll want to know about in order to get aDonating your car to charity is unquestionably
tax deduction.something which you should think about. You'd not only
1. Any type of vehicle may be donated, such as trucks,be providing a useful item to people that are needing
vans, motorcycles, boats, even campers.assistance, but you would also in addition have the
2. The catch is that the value of the vehicle has toability to save a little money with the car donation tax
offset the entire cost of towing it, if it no longer runs.deduction you'll be receiving.
Most charities in the U.S. will hire a licensed towing