Donate car to charity

It sounds so simple: Donate your used car to charity, avoid the problems associated with the sale, tax reductions and guests at the same time. Everybody wins, right?

Before submitting one of the most valuable for someone to read the following tips to ensure that they are the right moves.

Firstly avoid the broker. Many organizations mediator aggressive advertising on television, billboards and other locations to help you donate your car to charity to benefit. The catch: These organizations typically have from 50 to 90 percent of the value of the vehicle and the charity does not get what they got. To avoid this, directly to a charity you admire and see if they accept donations of cars.

The second was to find a good goal. If the charitable organization, which usually support not ready to accept the gift, do your homework to find a charity. You can download files-for-profit "came to seek it from an online Business Bureau better and Charity Navigator.

Third, check the math. If you still have to use an intermediary organization - possibly because he's busy - at least ask the organization will donate the cost of a car to charity. If a charity is only a nominal fee - say $ 100 for a used car, at no cost, or $ 2,000 per month - your donation may be eligible for a tax deduction.

Fourth, Do you know the status of the recipient. For you to claim the deduction, charitable contributions from your IRS 501 (c) (3) must be approved.

Fifth take the tradition. If you identify a noble goal, you confirm that you are paying someone to take your car for you. To maximize the benefits from the love of your donation, a reduction in car.

Sixth carefully transfer the vehicle. Do you want to say goodbye to any risk of accumulation of parking tickets and other injury to themselves, to eliminate donate your car? Then, officially re-name funds for charitable purposes, and report the transfer to the Department of Foreign Affairs of the vehicle or license. Never agree to leave the room to participate in the charity donation papers blank.

Seventh score value of the gift is not nearly enough. If your car for more than $500, the IRS wanted to show love, to do so. (Most of the aid agencies who receive these donations turn around and sell them for money.) You must disclose evidence of love, can earn as much money.

Eighth Knowing when to report the market value. You have proof that the selling price, if the organization is a vehicle or ship and use them in charitable activities, or if a prize does not exceed $ 500. Then you can use the market value reported ads Kelley Blue Book and similar sources.

Ninth keep a detailed paper trail. If you gift more than $ 500, you must attach IRS Form 8283 to your tax return. If it costs more than $ 5,000, it should include an external evaluation documents. You also need proof of donation as a charitable receipt and a copy of name change.

Tenth be detail oriented. This paper trail can be uncomfortable, but remember: this is one of the largest donations to meet you. By taking the time to the point I can guarantee that love to get maximum benefit and to obtain the maximum possible reduction.