| u are interested in making charitable donations and | | | | market value of the vehicle to claim on your |
| claiming then on your tax return then you should | | | | taxes. Reporting the Blue Book value is not an |
| consider donating a used vehicle to a charity. This | | | | option, so you will have to come up with the fair |
| will allow you to claim a deduction on your tax | | | | market value. Fortunately, there are several IRS |
| returns. However, there are some rules you will | | | | guides that will help you determine this number. |
| need to follow and some safeguards you should | | | | Another tip is to find out what laws govern the |
| keep in mind. | | | | donating of a vehicle to charity in your state. |
| The first thing you should do is check to see if | | | | Some states will require you to transfer the title |
| the organization you plan on donating the vehicle | | | | to the charitable organization while other states |
| to is qualified. This is actually very easy to do and | | | | handle the transfer differently. Also, you will need |
| all you need is an Internet connection. Go to the | | | | to remove any license tags from the vehicle |
| IRS web site and search charitable organizations | | | | before giving it to the charitable organization. This |
| and see if the one you plan on donating to is | | | | will keep the car separate from you once you |
| listed. If the organization is not listed then you will | | | | have donated it. |
| not be able to claim the donation on your tax | | | | After you have done the research required for |
| returns, so this is an important step to take. | | | | donating your vehicle to charity, if you still have |
| Another important question you need to ask the | | | | additional questions then you should call the IRS |
| charity is what are their plans for the vehicle? | | | | directly to have your questions answered. This is |
| You have every right to ask this question and | | | | really the only way to get accurate information so |
| receive a reasonable response. Some charities | | | | do not rely on what the charitable organization |
| might accept vehicle donations and then sell them | | | | tells you. Make sure the IRS provides you with |
| in order to raise money while other charities might | | | | your information. |
| use the car for poor people without | | | | Donating anything to charity is a good action, |
| transportation. Regardless, find out what the | | | | especially if you donate a vehicle, because you |
| vehicle will be used for before you donate it. If | | | | are allowing others with little to nothing lives to be |
| you do not receive an answer then perhaps you | | | | a little easier. However, take care when making |
| will look for a different charitable organization to | | | | donations in order to make the most of them on |
| donate to. | | | | your tax returns. |
| Also, the IRS requires that you determine the fair | | | | |