Car Donation: A Blessing in Disguise

Silver Car

Silver CarCar donation is one of the popular practices among people all over United States. They give away cars that lie idle in their garage or backyard for a worthy cause. While some people may argue that this type of donation is merely a tax shelter, many non-profitable charities rely on revenue they get from car donation to carry out their daily operations.

Most agencies have car lots that sell donated vehicles, while others mainly use auction companies to process the donations. Donors mainly indicate the charity that will receive the money collected from the auction.

Car donation programs can either be profit or not-for-profit. Profit car donation programs accept contributions from one or multiple charities. When these cars are sold at an auction, the proceeds will go to the company while the rest goes to the charity of the donor’s choice.

When donating a car to a profit company, donors can claim a tax deduction for the value of the vehicle. Donors can also consult with an accountant after the auction to determine the tax deduction.

Not-for-profit car donation programs provide donated cars to different causes, like in Kidney Cars. Donors who provide a car to this charity are eligible to receive a tax deduction for the vehicle.

Before donating vehicles, a thorough evaluation of the mileage, model, make, year and repairs will take place. If the cars fail to meet the criteria, these will go to an auction site, with the proceeds going to the charity.

Donating a car makes a big difference in the lives of people. Charitable organizations largely depend on these donations to carry on their social work. Start your good deed by turning your old vehicle into a valuable offering for charity.