It is no secret that thousands of people want to donate their car. However, there are quite a few unanswered questions that many Americans have about automobile donations. Because automobile donations provide much needed funding to many charities nationwide, I think that it is important that these question get answered. With that said, I have compiled a list of frequently asked vehicle donation question. I hope this article helps any Americans that decide to read it!
Question: How much cash can I expect to be able to write off after I donate my car?
Answer: I decided to do this question first because, when talking to people about car donations, this is the question that seems to come up most! So, without further ado, here is how it works. If the donated car is sold for $500 or less, that donation will result in a $500 tax write off. However, if the donated vehicle is sold for $501 or more, the donation will result in a tax write off equal to the amount of cash the automobile is sold for.
Question: Is 100% of the sale price of my vehicle donation given to the charity once the car is sold?
Answer: Although, I would like the answer on this question to be yes, the truth is that the answer is no. However, this is for good reason. Because people do not want to pay the cost associated with donating their vehicle such as towing, auction fees, ect…, this cost must be absorbed into the sale of the car. However, because many car donation companies work with a very high volume, they are able to cut the cost of a great deal of these services resulting in a larger amount of money being donated to the charity.
Question: Does my vehicle need to be in good running condition to be donated?
Answer: No! When it comes down to it, the vast majority of automobile donations in the United States are junk cars. Therefore, they do not have to run to be donated. Junk cars that are donated to charity are usually sold for the scrap metal and working parts that they contain. Therefore, even junk cars that no longer run can be a great source of income for many charities.
Question: Can I donate things like boats, R.V.s and motorcycles?
Answer: Yes, just about anything with an engine will be accepted by most car donation companies. However, items like these cost much more to tow away. Therefore, for an automobile donations company to be able to accept it and generate a profit that can be donated, they generally have to be in good condition.
I hope that this article has answered any automobile donation question that you may have! Please come back to read more of my articles soon!
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