There are lots of wonderful things you can do in this world and charity for sure is one of them, which brings both joy and peace to one’s mind. Donating cars to charity is undoubtedly considered as a great initiative as a pure act of humanity.
It is true that great causes can drive you to do greater actions. Donating cars is one of the best ways to help and support people without much of a thought. In many countries, these types of projects have taken place, especially in the United States of America.
If you ask me, I think California is a great state if have made your mind to donate your car. You just need to follow few simple steps to complete the process over here.
Step 1: You have to start the process by fill up an online form and submitting it in a proper way. Another option you can choose for it by calling the charity.
Before you choose a charity to call, find out that the charity is an IRS recognized nonprofit organization. Then you can claim for the tax deduction based on the car donation.
Step 2: Tax receipt is a document you must get after claiming for the tax deduction. Receiving a tax receipt is a process which may vary because of the charity donation.
You can get this receipt in two ways. Getting an email from the charities as an initial receipt is one way and another one is getting it physically during pick up by a tow truck. If the tax deduction value is up to $500 (Donated vehicle value) then this initial receipt will enable the option to claim the tax. Before you donate your vehicle you can be unsure about the process of providing the receipt.
Step 3: During the donation process, you cannot remove the license plate, especially in the State of California. If you are thinking to remove the license plate, then don’t do it because the license plates must remain with the vehicle.
Step 4: California Department of the motor will release you from the liability. It’s very important that when you are donating the car. It’s just not only a release document but also a way to free you from the future liabilities after the donation. For more help, you can visit their site for asking to create a file for the release of liabilities.
Step 5: In some cases, you will get additional tax paperwork if your vehicle has a sales price of more than $500 in a fair market. The price also depends on the price and types of the donated vehicle.
These are the basic steps you should follow to maintain a process for Car Donation.
There are few boundaries that create an obstacle for donating vehicles. But lots of options are available for doing this great job. You can donate cars, boat, snow plow, jet ski, bus, RV (motor home), truck, airplane, commercial, van, ATV, fleet tractor, etc. Most of the charities in California accept these donations.
If you live in the state of California or outside of California, but wants to donate your vehicle to a charity of in this state then it’s still possible for you. If you are donating for the first time, then some tips might help you to get the job done.
IRS registration: There are lots of charity organizations you will find in this state, but try to find out that charity organization which is qualified and 501 (3) IRS registered for donation program. If the charity is not IRS registered, then you will not be able to claim for a tax deduction.
Tax Deduction or not: Identify your intention about the tax. If you are not interested in the tax deduction, then you can just donate the vehicle for good reason. On the other hand, you must understand all the order need to obtain a tax deduction and itemize it. It will help you with the standard deduction.
The value of the vehicle: Finding out the actual value in the fair market of the vehicle you are going to donate is also important. You can use an online resource for that. But it also depends on the present condition of your car as well.
It’s important if the car value is up to $500, then you can claim it. If the car’s worth is more than the value I mentioned earlier then the deduction going to be limited which is influenced by the sale price of your car donation.
Title: Providing a title may be a new term for you to donate a car for the first time. To get help for the tile you need to contact the Motor Vehicle Department. You may obtain a title for your vehicle. If you do not have the title, then the authority will provide a duplicate copy for it. They must have one and check it out before the donation.
You also need to prepare some other paper which also important for car donation. Provide car insurance and registration copy.
Hidden Cost: Car donation should be free of cost because charities provide services for free. So make sure that you are not going to pay any hidden cost while donating the car.
Service: Try to locate a qualified charity. It will give you some advantages. There are some charities you will find which are providing both local and nationwide services for their donation program.
Make sure that the charity provides you pick up service, especially in your area. Pickup service is free of cost on the behalf of some charity and available for the nation.
Accept your types: Last but not the list is the vehicle types. Make sure that the charity is going to accept your vehicle for the donation. So choose that charity which going to accept your vehicle in the present condition.
It’s not a crime to think that how you are going to be benefited by donating a car. Here some benefits are given below.
Junk: Most of the people donate their cars because it becomes a junk to them. For those people, car donation is one of the easiest options to get rid of it. You can easily donate your car even it is not operational anymore. Most of the charities accept this kind of vehicles.
Not for sale: Some people have lots of emotions and memories with their beloved car. Sometimes it becomes a great companion to them. So they do not want to settle the emotions by selling it to other people. They want a better option to settle it down. Even selling a car become a hassle to them and dangerous as well. Car donation is much easier than selling.
A tow truck will come and take your vehicle in time without creating any kind of messy situation. Some people do not want to sell their car because of the location and delivery problem. But donation makes you free from it. They will come straight to your location.
Repair: Proper maintenance and repair may the curtail part of taking care of a car, but it becomes costly when you do it frequently. Some repairs are expensive to bear. If you do not want to worry to repair your car, then donate it to charity.
Deceased owner: You might get a car where the owner passed away. So, you do not have anything to do with the car. Later, it will become a headache for you. Donating the car will clear you from all the emotions and burdens.
Make spaces: Look at your garage. Maybe your car is blocking the space of your garage. If you want to make some space for a new vehicle, but you do not have many options to clear the space then you can donate your old car to charity.
It will save dozen of square feet of your garage. Donating a car means you will get 130 square feet of space approximately. If you have more than one vehicle, then donation can save lots of space and time as well.
Not worthy: Selling a car means to make a trade with someone. It should be worthy. If it doesn’t, then it becomes a disappointment to them for selling the car. If your expectation is not going to meet, then why you are stuck with it? Donation may influence your feelings and give you the best solution.
Tax Deductible: Many people donate their car to get a tax deduction benefit. But they have to do these donation activities with the nonprofit organizations. You will get a tax receipt after a successful donation process. For the following year taxes, you can claim a deduction. It’s one kind of tax benefit you will get even you are doing this for a great cause.
Car donation is just not a donation that you think from your side. It helps and supports the charity a lot. Everyone can donate a car to a charity for great causes.
If you are in the state of California, then you will find hundreds of organizations, which are registered under IRS and providing nationwide service. In a survey, it is found that there is approximately 257 nonprofit charity organization available in this state.
As a human being, I believe that it is rewarding work. Because of its lots of poor and other victims will get help. You may don’t know, through your donation how many lives are shinning. With your little help, lots of good things happen. You will be blessed with some homeless families.