How to Donate a Car in Portland OR

Donating a car to your local charity is now easier than ever and has become a popular way to give and receive. Donating a car isn't difficult, but it's important to keep a few steps in mind. Millions of people receive a tax deduction by donating their unwanted vehicles to charitable organizations, but remember, donating your car is only tax deductible if you are itemizing your deductions. You may want to talk to your tax professional.

Difficulty: Easy

Instructions

Things You'll Need:

• Unwanted car
• 501 (c)(3) not-for-profit organization
• Written acknowledgment from organization
• IRS tax forms

How to Donate a Car in Portland OR

1. Verify that your chosen charity is a qualified 501 (c)(3) organization to ensure your donation will be tax deductible. Visit the IRS website's Publication 78 and search for charities. If the charity you have in mind is not listed, they are not a qualified organization, and your donation may not be tax deductible. The exception to this is religious organizations, which Publication 78 does not list. When in doubt, call the IRS Customer Account Services at [phone].

2. Find out if the charity prefers to handle vehicle donations themselves or if they contract a company that takes care of this for them. There are several intermediary companies in Portland. They take a portion of the proceeds before passing the remaining donation amount to the charity, but some charities prefer to work with a company because there is less for the charity to handle. A simple phone call to the charity will give you the information you need to proceed.

3. When you give possession of the car to the charity, obtain a written acknowledgment that includes the name of the charity, a description of your car and a statement that no goods or services were provided by the charity in exchange for the donation.

4. The charity or intermediary will need the title to the vehicle as well as the VIN #, year, make and model of the vehicle, and approximate mileage.

5. Once the car is sold at auction, the charity or intermediary will send you a receipt for the donation. You will need the receipt for your taxes so be sure to file it with your other tax receipts carefully.