Cars and other vehicles can be
donated at any time of the year, from anywhere in the United States. You can
donate to a local charity or a national charity with a local branch or to a
national charity and its car donation program.
If you're planning on taking a tax
deduction from your vehicle donation make sure to allow plenty of time to
gather together all of the documents you'll need and for the transfer of the
vehicle to take place.
You want to make sure the entire
process takes place in the tax year that you want the write-off on your income
tax return. After you complete the application form, the charity can collect
your vehicle, usually within 14 days, or if agreed, you can deliver the vehicle
yourself and save the charity any towing costs.
All major charitable organizations
have local sources that will pick up your vehicle.
Make sure you allow enough time to
find the title to your car, truck or other vehicle or to replace it if you
can't find it. Your DMV could take up to a month to get you a new title. Make
sure to find out how long it will take in your first inquiry. If you think your
vehicle is worth more than $500, find out if you will need a new appraisal
before you transfer titles. When you donate your vehicle, the charity will
probably sell it or in some cases give it to a needy individual or family.
If your car is valued at more than
$500 and the charity sells your car you'll need to ask for a confirmation of
the sale in writing. The car donation charity is required to send you
confirmation of the sale within 30 days after it sells your car.
You may want to donate your vehicle
through a national car donation program that represents several charitable
organizations. Many of these are available online. Some national car donation
programs will collect just about any vehicle and some will collect only
vehicles that are in running condition. If the vehicle is not running and
cannot be repaired cheaply enough, they will 'part it out' and sell the parts
for the best possible price.
Some of the charities have high
overhead costs for their car donation programs which means less money goes to
their programs and services. If you want to find out how much money from your
car donation sale is going to the charity for its program and how much is going
to administrative costs, then check with your state's Secretary of State's
office or Attorney General's office for their state registration and financial
filings.
Before you donate your car, make
sure you check with your CPA or other financial advisor to make sure you're
getting the tax deduction you want or if there is anything else you will need
to know for your tax return.
Check with the Better Business
Bureau for the city the charity is located in to make sure there are no
complaints on file that haven't been taken care of. Make sure to check with
your Attorney General's office to make sure the charity is registered as a
501(c) 3.
Following these tips should help
make your car donation go much smoother.
No comments:
Post a Comment