Dallas Car Donation Tips
1. Choosing a Charity
Many different charities accept a Dallas car donation. It is often an excellent plan to choose a local charity because of transportation issues.
2. What You Can Donate?
Cars and light trucks of all kinds are accepted by most organizations, even if the vehicle is not running. Also, broken down vehicles can be sold at auction for parts.
3. Getting the Vehicle to the Charity
Some groups offer free towing for your Dallas car donation because they make a lot of money from selling the items.
4. Gathering the Paperwork
The paperwork required for making a Dallas car donation is similar to that needed when buying or selling a vehicle.
Upon making your Dallas car donation, you will want to have the vehicle removed from your insurance policy, effective on the date of pick up, and remove the tags.
Some states require or suggest that you fill out a “Notice of Sale for Used Cars” form.
5. Getting the Tax Deduction
If a Dallas car donation is valued at less than $500, it is pretty easy to get the deduction. You just need to itemize. If you do not currently itemize, check with your tax advisor.
6. Items Worth More Than $5000
Anytime you donate an item to a charity worth more than $5000, you must have an independent appraisal conducted first.
7. Determining the Value, Without an Appraisal
If your vehicle’s value is less than $5000, you can use a Kelley Blue Book or a similar guide to come up with the FMV of your Dallas car donation. You can even do it online.
Ensure that you look at the value for the make, model, year, and vehicle condition. Otherwise, the IRS might question the deduction.