How to Donate a Car in the Bay Area
As selling a used car can be quite a hassle, consider donating your car to charity. When you donate your car, you not only save time and energy associated with selling your car but you also get the benefit of a nice tax deduction. All this, and you help the charity of your choice. Car donation varies slightly from area to area. Here's how to donate a car in the Bay Area.
- Difficulty:
- Moderately Easy
Instructions
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1
Consult the Kelley Blue Book to determine the value of your used car. You can either use the traditional publication or their online service.
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2
Get your car appraised by a professional if you suspect the value is over $5,000. You'll want to keep this appraisal with your tax records.
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3
Research Bay Area charities that accept cars as donations. The charity must be a registered 501(c)(3) charity or a religious organization. Confirm that the religious organization is qualified. You can only claim a tax deduction if you donate your car to a qualified group.
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4
Choose a Bay Area charity. Many different charities accept car donations so choose one whose mission you support.
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5
Transfer the title to the charity. You can do this by signing on line one of your title certificate. If you've lost the title to your car, you can request a duplicate title from the California Department of Motor Vehicles. They will charge you a fee for your duplicate title.
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6
Leave your license plates on your vehicle. In California, license plates remain with the vehicle after possession has changed.
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7
Get a receipt from the charity or religious organization. Make sure the receipt has the charity's name, federal tax number, your name, the date of donation, and the make, model and year of the vehicle.
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8
Save all documentation associated with your car donation for tax purposes.
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1
Tips & Warnings
In order to reap the tax benefits of your car donation, you must itemize your deductions. If you take a standard deduction, you won't receive the tax benefits.
Beware of phony charities. Always confirm the validity of the organization before handing over your car.
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