Six Questions to Ask: Donating Your Car to Charity
Do you have a car, truck or boat that’s no longer being used? Donating your unwanted vehicle can save you money and make a big impact for a cause you care about — like helping our nation’s disabled veterans.
But it’s critical to choose a reputable charity that maximizes your donation, helps you qualify for significant tax deductions and makes the process seamless for you.
Here are six questions to ask when choosing a charity to donate your vehicle to:
1. Does the charity accept auto donations? Not all charities have established vehicle donation programs. DAV (Disabled American Veterans) partners with CARS and accepts vehicle donations of all types, including cars, trucks, motorcycles, RVs, boats, airplanes, heavy equipment, farm machinery and most other motorized vehicles — whether they run or not.
2. Will I get a tax deduction? You can get a significant tax deduction when you donate your vehicle; however, some organizations don’t have the tax status needed for you to claim a tax deduction. DAV is a tax-exempt organization, and all contributions are tax-deductible according to IRS regulations. When you donate your car to DAV, your gift qualifies for a tax deduction, and we’ll provide all the tax documentation you need to get your deduction.
3. How is the value of my tax deduction determined? Most donated vehicles are sold through local auctions. DAV works with CARS to get the highest return per vehicle for you. You may claim a tax deduction on the fair market value of your vehicle up to $500 on your donation even if your vehicle sells for less. If your vehicle is sold for more than $500, the maximum amount of your deduction will be the sales price.
4. Will they take care of the title and paperwork? It’s critical to have your car correctly re-titled so you are no longer responsible or liable for it in any way. DAV’s partner, CARS, will ensure the title is properly transferred and provide a written receipt and all the required IRS forms for your taxes.
5. Will the donation process be hassle-free? Ensure the organization covers all costs and makes the car donation process easy and convenient for you. DAV’s partner, CARS can arrange to have a licensed tow company pick up your vehicle within 72 hours of completing the donation – and it’s always at no cost to you. DAV offers free pickup in all 50 states, so no need to worry if you qualify or not.
6. Will my donation be maximized to make an impact? Donating your vehicle is an incredible way to give back. When you donate your vehicle to DAV, the proceeds will support DAV’s life-changing programs for veterans of all generations and their families. You will make a real impact for our nation’s heroes.
Find out more about DAV Car and Vehicle Donation by visiting dav.careasy.org/blog or by calling 844-440-4267.