How to Donate a car to a charity…?
Interesting and favorite way for Americans is that to gift there used cars to charities. You get three benefits if you donate your car to a charity. The first benefit is that You can avoid the headache of selling your car in the market, the second benefit is that you help a charity for mankind and the third and most important benefit is that you can overcome your tax burden.so donating your car to a charity is more efficient then selling your car in the market.
Here we gave you five logical tips that can help you to protect yourself, when you donate your car to a charity. You have to know that the car-donation industry is full of fraud and other wrong things. When you donate your car to a charity, keep five things in your mind.
1-Knowledge about Charity.
First thing is that, you have deep knowledge about car donation industry or charity. When you donate your car to a charity you can aware of all these things like, how this charity is work and how this charity is operating.?
2-About Charity Registration
The second thing is knowledge about charity registration. Make sure that the charity is registered with CAG (California Attorney General). And also make sure that charity have 501(c)(3) non Profit status with IRS.You can also check this information on IRS website.
3-Avoid Charity Scams
There is lots of car donation charity scams reported in America.so it is better to know about charity legal information. If you have no legal information about charity, please don’t sighed any legal documents. Donate your car to a legal and efficient charity. There is lots of organizations such as CharityWatch that evaluate charities and rate them for efficiency in supporting their causes.so avoid charity scams and donate your car to good and efficient charity.
4-Keep a copy of Record
The most important thang is that when you donate a car to a charity, keep a copy of all legal documents. During the documentation process If charity employ or worker asks you to leave the assignment of ownership space that’s wrong thing. If you don’t sign your car over to the nonprofit, you will be held responsible for any tickets the car receives or liable if it’s used in a crime. According to the roles of California Attorney General, “failure to transfer registration has subjected many donors to subsequent penalties and expenses for donated vehicles, most often accrued parking violations.” So please keep these things in your mind.
5-Report Your Car Donation to IRS
The last thing is that how to report your car donation to IRS, this is most complex process to inform about your car donation to IRS. When you gave your car to a charity, clear that your car is used by charity or your car is used for other need. The amount that you can deduct from your taxes depends on whether the car was auctioned off, given to someone in need, or used by the charity after the donation. For more information, please read the article “A donors Guide to Vehicles Donation”. This article is available at IRS website.