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For Charity - Make Automobile Donations

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					For Charity - Make Automobile Donations


One way of getting rid of an old car is to donate it to a local charity. Some well-known places
that take cars as donations are the Salvation Army, Goodwill and Trees for the Future.
However, this list is in no way exhaustive therefore always check with your local charities,
however big or small.As soon as donated to charity, cars are treated one of two ways:


1) Charities can market the cars for whichever monetary worth they can get. It this case, they
can sell them to some dealership or opt to for direct sale to prospective customers.


2) The charity also has the option of keeping them. These cars are then used to transport
persons or equipments. In the event that the charity guarantees not to sell the car, it is required
that this intention be disclosed to the donor (you). They may consequently face penalties from
the IRS if they do sell it.


How car donations affect you:


Automobile donations count as non-monetary donations which are tax deductible. It's important
for individuals to understand that cars becoming donated must be valued and it is the car
owner's duty to obtain the valuation carried out. Once the value with the car is established, the
corresponding IRS forms must be correctly filled out when submitting your tax returns.


Warning:


Non-monetary donations can often come under critique so keep a detailed filing system. Your
file should consist of receipts for purchases or repairs made on the car, pictures of the car, a
copy of the chosen charity's letter of determination received from the IRS to verify they do
qualify to get a tax exemption, written proof of the donation from the charity and a copy of your
valuation report.


Suggestions:


1) Once a car donation is made, an IRS Form 8283 form should be incorporated in your tax
return application. Speak with you local tax department for distinct instructions on which
sections to accomplish and why.


2) You might receive a variety for the value of one's car. Be careful to not basically award the
highest possible value because this may result in fees and penalties if the value you document
is wrong, especially if there is a big difference between the awarded value and also the real
worth.
3) Always keep in mind that there are many penalties that may be accrued for attempts to
mislead or defraud the IRS even if there's no direct intent. Check with your state department for
needed regulations to ensure that the deal is totally legal.


Getting good information on car donation these days is not so easy. Good thing I found this
great website right here: Car donations

				
DOCUMENT INFO
Description: Car Donation, Donate A Car, Car Donation Form, Vehicle Donation Program, Car Donation Information, Car Donations, Donate Your Car, Car Donation Charity, Car For Charity