Now more than ever, cash-strapped non-profits need financial support, and donating your car can be a great way to help. It's also very generous.
It's also important to remember that you can only take a charitable deduction if you itemize your deductions. So, before you give away your car, just make sure you've done the math and it makes sense for both you and the non-profit.
Pick a Charity
It's very easy to give money or an in-kind donation to a non-profit. The hard part is making sure the non-profit deserves your gift and that you are confident the organization is spending its resources wisely.
The first step is to identify a charity that engages in work that is meaningful to you. For some, that will be helping to feed poor children; for others it will be the local animal shelter, and for others still it will be their religious institution.
There are thousands of non-profits to choose from. The most important thing to verify is that the charity you choose can receive tax-deductible gifts. Most of the time that means it must be registered with the IRS as a 501(c)(3) nonprofit.
Ensure You Can Donate Your Car
Once you've identified a couple non-profits in the area you'd like to support, find out if they accept used cars as gifts. Not all non-profits are equipped to handle that type of donation.
If they do accept cars as gifts, you can then narrow down the list. You can do this by checking each organization's Charity Navigator rating. You can also look up their tax filings on Guidestar, where you can see their financial profile and how much their highest paid employees are compensated.
Additionally, another great way to research a charity is by visiting the non-profit to form your own opinion of the work they do.
Tax Deductions for Donated Cars
The deduction you can take on your tax return is based on the fair market value of the car. You can start to determine that by visiting Kelley Blue Book or the NADA Guides, which both have excellent used car rating tools.
However, keep in mind that these book values are generalizations.
For example, if you determine that your car is worth $5,000, but you know it doesn't start because it needs a new battery, the fair market value is $5,000 minus the price of replacing the battery.
You can learn more about taxes and your donated car by visiting our Tax Deductions & Car Donations page.
DMV Requirements for Donations
From the perspective of the DMV, donating your car is similar to selling your car. All the paperwork for a title transfer plus canceling your registration still applies. The exact steps you'll need to take will vary from state to state. Contact your local DMV office for specific requirements and details.
Learn how you can donate your car with our helpful guide. Menu. Search. Search & Choose State. Go. Tax Deductions for Donated Cars; DMV Requirements for Donations;
Donating Your Car - DMV.org
Feeling philanthropic? Make sure you're protected if you are thinking about donating your car. Learn how to protect yourself by reading our donating your car guide at
Do I need to notify the CA DMV if I donate car? - DMV Answers
Once You Decide Which Charity To Donate Car To, Change Ownership Through The State. Vehicle Donation and Notifying the DMV In North Carolina,
Car Donation FAQ - Answers to Questions About DMV ...
Questions about donating a car and the DMV? CARs has the car donation processing expertise to answer your questions.
How to Donate a Car - Contact Your State DMV Office - DMV ...
How to Donate a Car DMV It is important that you contact your state Department of Motor Vehicles in order to find out how to properly notify them that you
What paperwork is required to donate a car? - DMV Answers
Get More On Car Donations Online. - DMV Answers Guides related to the donate car process depending Post Comment for "What paperwork is required to donate a car?"
How to donate a car or boat to charity - TODAY.com
offering to help you donate your vehicle to charity. and report the transfer to your states department of motor vehicles or licensing.
Donating Your Vehicle To Charity - CharitiesNYS.com
Donating Your Vehicle To Charity. Consult the New York State Department of Motor Vehicles at http://www.dmv.ny.gov/regtransfer.htm for information concerning
How to Donate a Vehicle: 5 Steps (with Pictures) - wikiHow
How to Donate a Vehicle. Donating to charity is a great way to get rid of a vehicle when you don't have the time to negotiate with DMV, State Street
Transfer a Vehicle as a Gift - DMV
Transfer a Vehicle as a Gift Actions Are Transfer Requirements Different When a Car is Transferred as a Gift? You must notify DMV within five days when you