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

If you're thinking about donating your car or truck to awhich will reduce the negotiated selling price
local or national charity, here are a few tips that youIf they farm it out to a car donation charity program,
should know. There are a few problems you canthey've contracted with, to sell then they will get a lot
avoid if you do a little research first. Ultimately yourless for it. And of course if they use it themselves or
goal may be to gain a good car donation taxgive it away then their won't be a monetary gain.
deduction. The change in the tax laws make it easier3. Before you donate your car to any charity you
now to get a good deduction.want to make sure it's a legitimate charity. If it's a large
1. How the car donation charity uses your donated car.national organization then there will be less of a
Decide whether it's important to you or not if youproblem. If it's a local charity then you may have to do
know how the charity is going to use your car. If so,some checking. You want to make sure they're eligible
you may want to give them a call. They may sell it onto receive contributions that are tax deductible, so you'll
a used car lot they maintain or farm it out to a charityreceive the car donation tax deduction. So ask them if
car donation program or sell it on their own car lot.they have the "letter of determination" from the IRS.
They may use the car to transport people or goodsMany charities accept cars, truck, and other vehicles
for their charitable work. Or they may give the car toand are not tied into providing you with a tax deduction.
a needy individual.Make sure to find this out in advance.
2. How much money will the charity actually get fromThese are just a few of the tips you'll need to know if
you car donation. If the charity plans to sell the car ityou plan to donate your car to a charity. Make sure to
will probably not get the 'blue book' value of the car.do a little research first to make sure you understand
There also will be expenses directly related to the salejust how much you may get for your car donation tax
- newspaper classified ads or their car lot costs, bothdeduction if they sell it, give it away or keep it.