| How many cars do you have in the driveway? One, | | | | A car donation works basically the same as any |
| two, maybe more? Do you use them all? Are they all | | | | other donation with the exception that the |
| really necessary? While it may seem that you need | | | | organization will sell the car and then use the money |
| each car, it may be that having more than one is | | | | that they receive for the car for something good. |
| actually costing you more than you think. | | | | The organizations can be for anything. They can be |
| Consider how much the insurance is costing you on | | | | cancer organizations, homeless organizations, Make a |
| that second car. Couldn't that money be better spent | | | | Wish type organizations, etc. |
| elsewhere? Do you have children? Will they be going | | | | When you donate the car it is considered a donation |
| to college? The money that you are spending on | | | | for what the current Kelley Blue Book value is. The |
| insurance could be saved for a college education. | | | | mileage is also considered in the value of the car. |
| College isn't getting any cheaper; in fact, the prices | | | | When you donate the car the organization will give |
| are climbing more every year. | | | | you a receipt for the car with the current Blue Book |
| Here is a crazy idea, why not donate a car to a | | | | value on the receipt. This helps in showing that the |
| charitable organization? | | | | donation was a legitimate donation especially if the |
| Are you too busy to try to sell the car? | | | | name and address of the organization is on the |
| Is there any use for the old car? | | | | receipt. Another situation where a couple of bad |
| There are organizations that would be willing to tow | | | | apples have spoiled the whole bunch, some people |
| it away for you for the donation. | | | | have made up deductions so it is always a good idea |
| What are the incentives to donating a car? | | | | to have proof. |
| Helping people in need (obviously). | | | | If the person would sell the car and get more than |
| An excellent chance that you could write off the | | | | the Blue Book value for the car they would have to |
| resale value of the car as a tax deduction. | | | | report that as a gain and then report that on their |
| The organization would more than likely be very | | | | taxes and actually have to pay taxes on that gain. |
| willing to let you know what price they received for | | | | But, if the person would get less than the Blue Book |
| the car when they sold it. | | | | value the person would not be able to report that as |
| You in turn, would supply this information to the | | | | a loss unless of course they were in the business of |
| person who does your taxes so it could be put in | | | | selling cars. In other words, a car salesman could |
| your tax return. | | | | report that as a loss but a grocery store owner |
| In other words, this helps you as well as the | | | | could not. |
| organization. | | | | |