Tax Deductible Car Donations – Help Goodwill Industries, Veterans, Single Mothers. Do you have a car on your property you don’t drive? Why not donate your car to charity? It’s been sitting in there for a while, and will all your best intentions, you haven’t fixed it.
Tax Deductible Car Donations to Goodwill
Goodwill Industries will take your old car, and will either sell it and put the money in their funds to help the poor. They may also repair the vehicle and use it as a part of the Wheels for Work program This program offers interest-free car loans to low-income working adults.
Tax-deductible car donations can be a blessing to someone else, and you can deduct your donation on your taxes. Your act of kindness will help the less fortunate and you can get a tax deduction if you choose. There are organizations that will take your donation and improve the lives of some disadvantaged family.
Your cars will be are repaired, finely tuned and sold to help single Moms returning to work, or disabled who want to work, etc. There is no price gouging and the person purchasing the car is allowed to make affordable payments so that they can purchase a car without a large car note.
The Value of your Car
Before you donate a car to charity, calculate the market value of your car using Kelly Blue Book or Edmonds, which are usually very reliable resources. Also, consider how much you would ask for the car if you sold it personally.
New York’s’ tax system is about 7%. You will use these calculations when reporting your donations to the IRS. The car you donate does not have to be showroom new, now does it have to be in working order. Charities who receive car donations have their own talented mechanics that can make necessary repairs.
Tax Deductible Car Donations Help Veterans
Cars for US Troops is an organization that takes your used car and turns it into a reliable form of transportation for a veteran. These brave men and women put their lives on the line to keep this country safe; yet they are often, the poorest paid in the country.
If you have a car you would rather donate to a U.S. veteran, there are organizations that will take your donation. You can also repair and give your car to a Veteran directly if you don’t care about the tax deduction. They make the process as simple as possible. You can make the donation online or call the toll free number.
Fill out the application, stating your full name address, phone number, when to call, as well as the make, model, year of the car, and mileage and Vin number. Also, tell what the issues of the care are and what needs to be fixed. They ill call you back and arrange a time to pick up the vehicle. More information at CarsForUSTroops
What Should I do Next?
Once you have decided what charity you will be using, all your paperwork is filled out and signed, and you have proven ownership of the car you are just about done. Now you have only to, sign over your car title and keys to your charity.
Charities try to make donating a car as simple as possible. Go to the site or call the charity to find out the process and what type of documentation you will need. New York uses the organization, Donate for Charity, as their clearing house so give them a call to get more information or find out what organization your charity uses as their clearinghouse for car donations.
Vehicles valued over $5,000 require profession appraisal before the donation can be made. This appraisal is done by the organization or clearinghouse as you are the one giving your car to charity. Make sure the organization you donate your car to is licensed and registered with the IRS or you will not receive a deduction for your donation.
Evaluate the Charity
Make a list of your favorite charities, research their donation process and how their donations are used. You will want to use a charity that gives a minimum of 70 -75% of its programs income back into the car donation program, rather than to operational costs.
To determine what portion of your donation a charity donates to the cause go to Charity Navigator or GuidStar.org. These organizations do all the work for you, by evaluating and rating charities.
There are several well known and responsible charities that accept cars, so do a little research to find one you are comfortable donating your car to. Goodwill Industries is one well-known charity that received cars and refurbishes them to sell to participants of the Cars for Work program. You can go in person or go online and fill out a donation application.