Legal Information

IRS Car Donation and Tax Information

A car donation to charity can be a great way to get a deduction on your online pokies real money. Thanks to a new tax law that went into effect in January 2005, the IRS has taken the guesswork out of determining the value of your car, truck, RV, boat or other seriöse online casinos test.

As of January 2005, you may deduct the full price we receive for the sale of your car or other vehicle. This greatly simplifies the process for you, the donor, because you no longer have to research and come up with an estimate of the fair market value of the car or other vehicle.

This also eliminates the risk of you getting into trouble by overstating the value of your deduction on your tax return. You’ll know exactly the amount you may deduct, eliminating guesswork. This saves you both time and risk. The IRS allows you, the taxpayer, to claim a tax deduction of

a) The value of your vehicle up to $500 or

b) If we sell the vehicle for more than $500, we will mail you a notification stating the exact amount for which it sold, which is the value you state for your tax purposes.

c) Fair market value in some cases for certain vehicles. For example, late model cars or vans that end up being used to further the work of our charity OR vehicles on which we make a significant material improvement such as a major repair, before selling it.

In any case, you will receive a receipt at the time that your vehicle is picked up. Assuming that we sell your vehicle for more than $500, we will then mail you a notification stating that value for your tax purposes. So for any vehicle sold for more than $500, the exact amount it is sold for will be stated on your notification mailed to you, which in turn will be your tax deduction.

For additional information, the IRS provides A Donor’s Guide to Car Donations, which sets forth the manner in which the IRS requires you to determine the value of your donated property.