How to Donate Cars to Schools
If you have a car you no longer want, you can donate it to a charity. Schools are often quite appreciative of car donations. They may use the donated car for their day-to-day operations, or they may sell the donated car and use the money from the sale to fund school events, services or general operations. In addition to helping out a school, you also get to claim the donation as a deduction on your taxes. The process is quite simple.
- Difficulty:
- Moderate
Instructions
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1
Assess the condition of your car. Most schools do not just accept any car as a donation. It has to be in reasonably good, running condition. If your car could be worth more than $5,000, have it appraised by a professional.
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2
Determine the market value of your car. Enter the year, make, model and condition of your car into Kelley Blue Book's online tool. Kelley Blue Book is viewed as the industry standard for car values.
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3
Find a school that accepts car donations. Use Donate Car USA's site to find schools in your area that take car donations. You can also call local schools and inquire with each individually.
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4
Inquire about the school's tax-exempt status. While you can donate your car to any school that accepts it, you can only claim your donation as a tax deduction if you donate to a school with tax-exempt status. The school should be registered as a 501(c)(3) organization. Generally, public schools fit this definition whereas private schools do not.
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5
Set up a time to donate your car to the school. Many schools will pick up the car from you, making the donation process quite simple. Other schools ask you to drive the car to their location. You can usually get a courtesy ride home from a school employee.
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6
Obtain a receipt from the school. The receipt should include the full name of the school as well as its federal tax ID number. It should also include the date of the donation and a description of the car. Specifics such as the car's year, make, model, condition and mileage should be included.
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7
Let your insurance company know about your donation. They must know that you are no longer in possession of the car or they will continue charging you for insurance.
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1
Tips & Warnings
Keep all documentation of your donation. You will need it when you file your taxes.
You usually cannot claim a valid tax deduction on any donation to for-profit organization. Since most private schools are for-profit, you cannot claim donations to them as deductions.
