Vehicle Donations

Learn the Truth About Vehicle Donations and Tax Receipts

Charitable donations for donated vehicles, validated by tax receipts, can only be used by income taxpayers who ITEMIZE on their income tax returns.

Rather than itemizing on their income tax returns, the vast majority of American income taxpayers utilize the standard 10 percent deduction, which does not allow any further income tax deductions, like charitable deductions.

Do you know if you are ineligible?

If you are unaware of what it means to itemize on your income tax returns, you are most certainly not itemizing, thus making you ineligible for any further income tax deductions like for donated vehicles.

What is itemizing?

  • Itemizing on income tax returns is a laborious, daily process of keeping close records on all expenses that the federal government has deemed legal deductions.
  • Itemizing on tax returns is a lengthy process, mostly used by businesses who have the funds and wherewithal to make it worthwhile.

QUESTIONS AND ANSWERS CONCERNING VEHICLE DONATIONS

Q-1. IF I DONATE a vehicle will I receive a check form the government for the valuable of my DONATED vehicle?

A-1. No. That is a common misconception regarding vehicle DONATIONS. Once the value of your DONATED vehicle is determined that value is deducted as a charitable donation on your federal income tax return. And of course, you must pay federal income taxes in order to receive a charitable deduction.


Q-2. Who determines the value of my DONATED vehicle?

A-2. The value of your DONATED vehicle is determined by how much it sells for, if that DONATED vehicle sells for $500.00, or more. If your vehicle sells for less than $500.00, then you – the DONOR – determines the value, which must be under $500.00.


Q-3. Can anyone deduct the value of their DONATED vehicle on their federal income tax return?

A-3. No. Only those taxpayers who itemize on their federal income tax returns can take charitable deductions of any nature. The vast majority of American taxpayers do not itemize on their tax returns. Instead, they take the automatic 10 percent standard deduction, which allows no charitable deductions.

In order to itemized, one has to keep close, daily, and extensive records as proof of their expenses, including charitable DONATIONS.


Q-4. Are charitable DONATIONS one-for-one deductions from one’s adjusted gross income?

A-4. No. Only a percentage of one’s charitable DONATIONS are deductible. But in any case, give all of your expense data to your Certified Public Accountant, so he or she can insure you follow the IRS regulations correctly.


Q-5. Do you offer tax receipts for those DONORS who give vehicles to your organization?

A-5 No. Over the years we have discovered that the issuance of tax receipts created more confusion than tax deductions. Instead, we give those people whose vehicles we pick up real, tangible benefits, such as those listed below:

  1. Free towing by licensed and insured vehicle towers.
  2. Professional title transfers and completion of all necessary paperwork.
  3. Free 3-day-2-night Getaway Vacation vouchers to scores of popular resorts.
  4. $1,000 in grocery coupons.*

* Please click here to access our Benefits Pages.