In order to donate a car to charity, you need to bear in mind some important factors that ensure your donation reaches the people or community you want to help, and that it enables you to enjoy tax exemptions. If you want to be very sure of making it easy for yourself, have a look at some important tips:
• Make sure that the charity to which you donate your car uses it in its operations or simply give it to a person who is in need of it. This would ensure that your tax deduction gets the highest valuation.
• You need to ensure that the charity to which you donate your car is eligible for tax deductions. Look for the IRS letter of determination to ascertain its tax exemption eligibility.
• If yours is a non-cash donation, be very particular in saving as many documents that can be used as a verification as possible, as such donations are one of the most common triggers to an IRS audit.
• Bear in mind that it is you who are responsible to get the car evaluated for claiming tax exemption status, and you might have to pay a penalty if the IRS finds that your estimate is incorrect.
• Take snaps of your car apart from saving receipts of new tire installations or other upgrades that can help in estimating its true value.
• Do not forget to get a receipt from the charity to which you have donated your car.
To donate a vehicle and claim tax exemption is much easier if you could follow the instructions given above.
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Donating a Vehicles For Charity 