Tax Deduction
Car Donation Deduction and Car Donation Tax Benefit
Getting a car donation tax break is just one of the benefits to giving away that unwanted vehicle!
When the new car donation tax law went into effect in January 2005, the IRS made the following new rules that affected determining the value of a donated car, truck, RV, boat or any other vehicle donation:
The IRS permits the vehicle donor to claim a charitable tax deduction as follows:
- If the vehicle is sold for less than $500, you can claim the fair market value of your vehicle up to $500 or the amount it is sold for if less than fair market value.
- If the vehicle sells for more than $500, you can claim the exact amount for which the vehicle is sold.
We then quickly email/mail you a Vehicle Donation Receipt. If the vehicle sells for less than $500.00 you will receive a Vehicle Donation Confirmation. If it sells form more than $500.00 we will mail you an IRS, 1098-C form 30 days after the date of sale. It will indicate the amount you can deduct on your taxes.
For additional information, the IRS provides A Donor's Guide to Car Donations (Publication 4303), which details the determination of the value of your donated vehicle.
For more information about your charity tax donation please review the IRS publication listed below.
Please use this form if you choose not to call us directly. Simply complete the required fields and we will call you within 15-minutes to answer any questions you might have or to finalize your auto donation. It’s that easy!
