How To Donate My Car To Charity

How To Donate My Car To Charity

Got a car you’re not using just taking up space in the garage or driveway? Instead of going through the hassle of selling it, think about donating it to charity. It’s an easy way to get rid of a car you don’t need, help a good cause, and even get a tax deduction.

The first thing you need to do when donating a car is pick a charity you trust and want to support. It’s good to know that not all car donation programs are the same—some don’t give much of the money to the charity itself.

That said, donating a car isn’t as simple as just handing over the keys. You’ll need to make sure the donation qualifies for a tax deduction, figure out how much the car is worth, and sometimes get it appraised. But if you take a few careful steps, you can make sure your donation helps—and gives you a legitimate tax break. Here’s a simple guide to help you do it the right way.

Also Read: Best Way To Donate A Car

Why donate your car to charity?

Donating your car is a kind and smart choice. It saves you the time and effort of selling or fixing an old car, and it helps charities with things like transport or raising funds. You might also get a tax deduction. Best of all, many charities will pick up the car for free, so it’s really simple to do.

Vehicles you can donate to charity

Below is a list of used vehicle donation types we accept:

• Cars, trucks, and SUVs
• Recreational vehicles (RVs), motor homes, and campers
• Motorcycles
• Boats and maritime vessels
• Heavy machinery and farm equipment
• Commercial and fleet vehicles (buses, vans)
• Other vehicles (snowmobiles, jet skis, golf carts, atvs, non commercial airplanes)

How to Choose a Charity for Car Donation

• Lots of charities accept car donations, but before you donate, make sure the charity is a registered 501(c)(3) organization. Find out what they plan to do with your car or the money from selling it. Contact the charity to ask how they use the money and check their financial reports to see how much goes to the cause versus administrative costs. How To Donate My Car To Charity

BBB Accredited Charities That Accept Car Donations

Here are some trusted charities that accept car donations:

• The Salvation Army: A faith-based group that helps people in need across the U.S., especially by providing shelter for the homeless.
• Make-A-Wish Foundation: This organization helps make wishes come true for children with serious illnesses. Some of its local chapters accept car donations.
• Disabled American Veterans (DAV): DAV supports veterans and their families by helping them get the benefits they’ve earned and find jobs.
• Habitat for Humanity: Works in communities across the U.S. and around the world to help people build or fix up their homes.
• American Cancer Society: Focuses on cancer education, support, and research. They also have a program where you can donate your car to support their work.

Things to Keep in Mind When Donating Your Car

If you’re thinking about donating your car, it’s important to be careful and do some research first.

Do Your Research:

• Whether the charity contacts you or you find one yourself, make sure to learn about the charity.
• Check if it’s trustworthy and supports a cause you care about. How To Donate My Car To Charity

Check the Charity’s Tax-Exempt Status:

• If you want to claim a tax deduction, make sure the charity is recognized by the IRS as a tax-exempt organization.
• Churches and places of worship don’t need to apply for this status.

Know the Deduction Amount:

• Most of the time, the car will be sold at an auction by a third party for the charity.
• The charity should tell you how much it sold for, but keep in mind, the sale price might be much lower than what the car is worth, especially if it’s not in great condition.

Get the Right Tax Info:

• If your car is worth over $500, the charity should give you a written acknowledgment.
• For cars worth over $5,000, you’ll need an appraisal.
• You’ll also need to fill out IRS Form 8283 when you file your taxes.

Also Read: How To Donate A Used Car

Understand What the Charity Gets:

• The charity will usually get a percentage of the sale price or a fixed amount for each car sold.
• It depends on their agreement with the third-party seller.

Transfer the Title:

• Make sure the car’s title is transferred to the charity before the car leaves your property.
• This protects you from any liability if the car gets into an accident or is parked illegally before it’s sold.

Donating your car is an easy way to help charities. It saves you the hassle of selling it yourself, and you might even get a tax deduction, making it a good option if you want to get rid of an old car. For more information, click here.

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