Friday, December 30, 2016

Tips to Get the Most Out of Your Car Donations

Tips to Get the Most Out of Your Car Donations

When you make car donations in Milwaukee, Wisconsin, you can create a really good deal, both for the charity and yourself. The different car donation charities Milwaukee residents can go to may keep your vehicle to use it, they may donate it to a service user, or they may sell it and use the proceeds to further their cause. Furthermore, they have made the procedure of making a donation very easy, and it also means that you may be eligible for a tax deduction. However, you have to do this right so that the IRS (Internal Revenue Service) will not question whether you can make a deduction. Let's take a look at how you can do that.

Work with Charities that Accept Car Donations Milwaukee Residents Can Trust

The first thing you have to do is find car donations Milwaukee charities that are qualified. This means that they are IRS tax exempt, which you can see through their 501(c)3 registered status.

Secondly, you need to know what is the estimated value of your vehicle. Most car donation charities Milwaukee donors can go to will sell the car and provide you with a tax receipt to prove what they sold it for, but it is important to also know this for yourself. Plus, if they don't sell it but use it for other things instead, you need to know the fair market value (check the Kelley Blue Book for this) to make your donation.

Next, the charities that accept car donations Milwaukee residents can go to, in different ways. Some will sell it, some will keep it to deliver their services, others will donate the vehicle to their service users. A charity like, for instance, will always sell it, although they may first train their service users by letting them perform repairs on the vehicle, thereby increasing its value as well.

Last but not least, you need to get the relevant documentation from the charity to make your deduction. Specifically, they should send you Form 1098-C. This will include your Social Security Number, your name, the vehicle identification number, the date you made your donation, and what the value or selling price was.

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