| If you're thinking about donating your car to | | | | also be used by the charitable organization itself |
| charity to get the best tax deduction possible | | | | to haul goods, food and people. |
| there are a few things to keep in mind. Most likely | | | | Check out the charity with the Better Business |
| it will go off without a hitch but there is the | | | | Bureau in your area. They may have some |
| possibility that you could encounter a few | | | | records as to any car donation issues. |
| problems along the way. To help you have the | | | | Make sure the charity is registered with your |
| best car donation experience here are a few | | | | states' government agency that regulates |
| used car donation tips to keep in mind, whether a | | | | charities. This will likely not be necessary if it's a |
| good car, an old car, a heap or junk car. | | | | nationally recognized charity. |
| Even beat up or cars that are not drivable are | | | | Check to make sure the charity is tax exempt |
| considered by some donation charities if they can | | | | because many smaller charities may not be. |
| be sold for parts, so don't eliminate your car if it's | | | | Another thing to check is do they sell the car on |
| not drivable. Many charities insist the car be | | | | their own car lot or do they hire the car brokers |
| drivable or fixable however. | | | | mentioned above to do that. |
| Choose a charity that has a name that you | | | | If your car or the vehicle you plan to donate is |
| recognize. National charities with local chapters | | | | worth more than $5000 get a professional, |
| may be a safer bet. Names like the Salvation | | | | written appraisal. It will be up to you to know the |
| Army, Goodwill Industries, Kidney Foundation | | | | value of the car. |
| (there are several) etc. But be careful because | | | | For your income tax records take several |
| there are some charities with similar sounding | | | | pictures of the car both inside and out and keep |
| names. | | | | copies of Craigslist and classified ads and NADA |
| Be aware that many charities hire middlemen | | | | and Kelley Blue Book guide estimates for vehicles |
| called car donation brokers to handle their | | | | like yours. The IRS publishes publication # 561 and |
| donations. When this happens, the charity will get | | | | #526 that will help determine the value of |
| only a small percentage of the final value of the | | | | donated cars, trucks, vehicles and other property. |
| vehicle - used car, truck, RV, boat, airplane, etc. | | | | And make sure the title of the car is transferred |
| And the car donation broker will keep the | | | | to the charity by name and keep a copy of it. |
| majority of the money from the sale when they | | | | Contact your state DMV to see what to do with |
| sell it. | | | | the plates. |
| Once you've selected the charity make sure to | | | | Notify your insurance company and the DMV that |
| check with the charity to see how they financially | | | | you no longer own the car or other vehicle. |
| benefit from the car donations. Is it through | | | | These are just a few of the most important tips |
| resale of the car or will they be providing it to | | | | to keep in mind to protect yourself when you're |
| someone who needs transportation but can't | | | | considering car donation for tax deduction. There |
| afford to buy a car. You may have some feelings | | | | are many other tips you should know before you |
| about how you want the car to be used. It may | | | | donate a car to charity. |