Do you have a car that is no longer running or has seen better days?  If so, don’t take it to a junk yard, instead try donating it!  Donating a vehicle is very helpful to others and can be a benefit to you as well.  When you donate a vehicle you will often find that you get a tax deduction.  Donating is a great thing to do and many charities today are collecting them!  So how do you donate a vehicle? 

  1. Find a charity that you want to donate to.   Once you have someone to donate your car to contact them.  They will give you all the information you need to take the next step.  Make sure the organization is a registered 501 charity or is qualified for a religious organization.  This will make sure you get a tax deduction and will help you avoid someone just taking your car for money.
  2. Determine what you think your car is worth.  Find a fair price that you think your car is worth.  This often isn’t much but the government will then give you a tax deduction for what it is worth.  You can find a good idea on what your car is worth by visiting KelleyBlueBook.com. 
  3. Have them pick it up or drop it off.  Most of the time the charity will do you the favor of picking up your vehicle.  Although if not, which they should simply drop it off.
  4. Make sure you get a tax receipt - Get a tax receipt with the charity’s name on it so you have proof that you went through with the donation.  Also, you should have the federal tax ID number, the date you donated the vehicle along with the year, the donor’s name and the make and the model of your vehicle along with the year.
  5. Let your insurance company know that you donated your vehicle.  Depending on the state do what you need to do with the title and plate of the vehicle.  Also, be sure you hold on to your receipt and completed IRS form and put it in a safe place for when taxes come up again.

Donating a vehicle isn’t hard at all and it is a great way to get rid of a car that has little value, many problems or isn’t running at all.  Do yourself and someone else good by donating your vehicle today.  For help on doing this, refer to the steps listed above!