Donate your Vehicle
- Last Updated: Tuesday, 30 September 2014 21:56
If you donate a car to charity and itemize deductions on your income tax return, it may be possible to claim a deduction for your car donation. In 2005, the IRS changed the laws related to tax deductibility of car donations because of exaggerated deductions based on inflated book values (book values tend to become less reliable as a vehicle ages). Under the new rules, the deductible amount of your vehicle donation is
directly related to the selling price of your vehicle. Donate a car and if it sells for less than $500 you can take a tax deduction equal to the 'fair market value' of your donation up to $500. Fair Market Value is loosely explained as the "Blue Book" or "Guide Book" value of your vehicle.
All of our charity partners are 501 (c) (3) nonprofits. The IRS allows donors to take the maximum sales price or their vehicle as a full tax deduction. We handle all of the tax paperwork on behalf of our nonprofit partners. Donate For Charity only sells our donated cars through a national network of auction and salvage houses that will optimize your tax deduction.