If you have an old vehicle that has been gathering dust in the garage, why not consider making a donation? Putting up a vehicle for donation is a fairly straightforward process and you won’t need to bother with the hassles of listing your car for sale and negotiating with potential buyers. Here we look at some of the additional benefits of vehicle donation and what you can expect.
Help a Charity in Need
Many charities accept vehicle donations and most are willing to accept your car even if it is not in working condition. Your donation is used in a number of ways. Your car may be auctioned off with the proceeds used towards charitable causes or it may be used within the charity itself such as to transport volunteers and supplies to areas that need help. Donating your vehicle contributes to worthy causes.
Claim Tax Deductions
Donating your vehicle is another great way to get a tax deduction when you file your claim. If the charity decides to auction the vehicle, you can claim a deduction up to that amount. However, if the charity decides to keep the vehicle for its own internal use, you can claim a deduction based on its fair market value by searching private party prices online based on the make and model of your vehicle. Be sure to obtain written documentation so you have proof of your donation.
Clear up Valuable Space
If your vehicle is sitting in a garage or on the driveway, it is only taking up valuable space that can be used for other things. Rather than let it continue gathering dust, donating your vehicle clears up that space so you can put it to better use. The best part is that most charities are more than happy to arrange free transportation pick-up services. So you won’t even have to drive it to the charity yourself.
Donating a vehicle is beneficial for a number of reasons. You help a charity in need, you can claim a tax deduction on your tax returns, and you also clear up valuable space in your home.