Donating your used car to charity is a win-win situation; the charity gets your gift and you get tax deduction. Below are some simple steps to make a car donation.
1. Understand the rules. A good place to read the government rule on car donation is IRS Publication 4303, A Donor's Guide to Car Donations (available on the IRS's website at www.irs.gov). This guide outlines some important rules regarding car donation. For example, one important rule states that car donation must be made to qualified organizations in order to be tax deductible.
2. Determine the value of your used car. Although the blue book might help you determine the value of your car, you should read IRS Publication 561, Determining the Value of Donated Property (available on the IRS's website), to see what your car really worth.
3. Find a charity to donate your vehicle. If you are associated with any charity or non-profit organizations, that organization might be your choice for donating your car. Otherwise, check the Yellow Book or search on the Internet to find an organization to which you feel like donating your car. After you have identified a candidate, you should review IRS Publication 78, which is a list of organizations eligible to receive tax-deductible charitable contributions. This document is also available on the IRS's website and it's searchable. Make sure the candidate charity is eligible. Otherwise, you might not get your tax deduction!
4. Make your donation. After you have made the donation, make sure to ask for a written acknowledgement from the charity. You will need to attach this acknowledgement to your tax return in order to get your tax deduction.
John Lee is a freelance Internet writer. He has written articles for websites such as car donation helper, (car donation helper)
Lincoln Stretch rentals Alsip ..An early distribution from an Individual Retirement Arrangement (IRA) or... Read More
Ever wish that, as a business owner, you knew exactly... Read More
Over 50% of marriages end in divorce in the United... Read More
Haven't done your taxes yet? No problem. Now there is... Read More
Tilting the Tax Laws in Your Favor.In order to accelerate... Read More
Newlyweds and the recently divorced should make sure that names... Read More
Own residential rental properties? This article discusses how income from... Read More
Does this scene sound familiar? It's April 7. You haven't... Read More
In the rush to get tax returns prepared and filed... Read More
As teachers and students head back to school following a... Read More
One can never underestimate the enthusiasm that politicians have for... Read More
As we enter mid-March, taxpayers begin to become very interested... Read More
Let's assume that you would like to begin saving for... Read More
Strategic planning throughout the year results in a minimal tax... Read More
If you have recently started an Internet or home business,... Read More
The United States is a nation of entrepreneurs. There are... Read More
Many taxpayers are confused about how long they should keep... Read More
Taxpayers have two easy and convenient options for getting copies... Read More
As a gentleman was leaving my class recently, he wanted... Read More
"What we've got here is a failure to communicate." ... Read More
As everyone in the U.S. knows, we have just passed... Read More
Are you in the middle of a disagreement with the... Read More
Many small businesses complain when confronted with the expense of... Read More
The IRS has obtained civil injunctions against more than 100... Read More
The knock on the door from a Tax Inspector is... Read More
Western Springs shuttle limo ..Strategic planning throughout the year results in a minimal tax... Read More
Many taxpayers are confused about how long they should keep... Read More
Deducting Your Auto ExpensesAuto deductions are a very complex topic.... Read More
In the latest Star Wars episode, the evil empire executes... Read More
Someone once remarked, "Next to being shot at and missed,... Read More
1812The first attempt to impose an income tax on America... Read More
Misconceptions, misinterpretations and just plain "untruths" are floating about income... Read More
The Internal Revenue Service is reporting that the difference between... Read More
Following is a reproduction of the IRS's rules and requirements... Read More
To tax or not to tax - this question could... Read More
Deduction of Refinance PointsAny points that you pay in the... Read More
Recently, I stumbled across a concept that could change your... Read More
Just image, you are a small manufacturing company, business has... Read More
NOTE: This is the first in a series of 5... Read More
It may not be high on the list of wedding... Read More
We need real tax reform and we need it now.... Read More
Each year, the IRS lists various scams taxpayers get caught... Read More
The knock on the door from a Tax Inspector is... Read More
You've been feeling uneasy (perhaps even guilty) because you've failed... Read More
As a sole proprietor, it's wise to familiarize yourself with... Read More
While there are many equally valid reasons to incorporate, saving... Read More
On June 3, 2005, the IRS released guidance on charitable... Read More
No one likes paying tax. Everyone understands that tax is... Read More
As your business grows, you are going to need help.... Read More
Small Businesses Filing Amended Federal Tax Returns to... Read More
Tax |