Know all about car donation concept in United States

Know all about car donation concept in United States

You need to be cautious and do take your time before donating your car, ignore the quick and easy television appeals and find a reputable, high performing charity which will make the most of your donation and then you can maximize the amount that actually gets to charity and minimize your risk of an IRS audit. In the United States, car donation concept is pretty famous and we will tell you why!

Car donation concept in United States

Avoid Brokers

First and the foremost, find a charity that directly accepts car donations. Try avoiding the for-profit intermediary organizations that advertise so pervasively to handle your car donations. To ensure that 100% of the profits remain at the charity, look for a charity that handles the transaction themselves. If you are already supporting some charities, check with them if they have a car donation program which you might not be aware of.

NOG Type and It’s status

Be sure that your intended organization is a 501 (c) (3). Many organizations can claim nonprofit status and donations to 501 (c) (4) organizations which are generally non tax deductible and these are political organizations with permission to lobby our government like disabled American Veterans or the National Rifle Association.

Save third party charges

Charities usually have to pay someone else to handle a pick up or a tow so ensure that all the amount goes to the organization’s programs, try and make sure you can get the car to them yourselves.

Handling Car ownership liabilities

Be aware of those charities who asks you to leave the assignment of ownership space on the charity donation papers blank so they don’t have to re title the auto. You should also realize that if you don’t formally sign your car over to the designated nonprofit organization, then you shall be held responsible for any parking tickets that are subsequently incurred and also you may be liable if it’s used in a crime.

Proper documentation

Never leave your paperwork incomplete. Non cash donations are the most common triggers of IRS audits, so it is important to keep through documentation of a car donation. Specifically, if the car is valued over $500 then you must complete section A of the IRS Form 8283 and attach it to your yearly taxes. You need to know the further rules and regulations to make sure that your donation amount goes to the rightful and needy ones.


When you enrol in a car donation program it simply allows you to raise funds which goes to the various organizations who share a common goal which is to help as many people as they can. This will not just help you to feel better but also helps in the tax deductions. Any car that you own can be donated even if it is not in a mint condition however be sure to check if the organization where you are donating is a nonprofit in nature and has a good record in helping the needy.

Happy car donation !!