Car Donation For Charities
To help charities in operating their programs, hundreds of charities have begun to adopt car donation programs. This is a way where charities raise funds or to provide themselves with a no-cost vehicles. However, the donation and the auctioning of the vehicles usually being done by a fund raising organization rather than doing this themselves which may also pose a problem to you.
An internet search proves that many fundraisers claim that the proceeds of the car sale can go to a list of favored charities group. And later from here, through the paperwork given, you can use the car donation as a charitable deduction for the IRS return.
IRS Advice On Car Donation
In recent years, the IRS has become alerted at the rapid increase of the car donation programs run by the fundraisers where the bulk of the proceeds end up being kept aside. Thus, for any car donation program, the IRS recommends contacting the people who runs the fundraisers and to confirm their involvement. They can be charity officials or may also be a private group who acts on behalf of the charity group.
After this background check, find out what is their plan with the car you donated. Find out whether the car will be repaired, auctioned or may even be given to the charity. If it is auctioned, what is the amount of portion that will be given to the fundraisers and also to the charity?
If you cannot find clear answers to the car donations programs, you may not have the rights to claim the deduction out of the car value. So it is crucial that you know where the money goes to.
Connecting yourself with a charity group through a legitimate car donation program is great gift you can give to your own self. However, to ensure that much of the money will be channeled to the charity is a responsibility that you should own. Research through many car donations programs and an IRS recognized charity group is a tedious task and it is very important since you do not want an unwarranted deduction during tax time!