How to Donate a Car in California
In California, the donation of car is simple and easy, just
fill out the organization form but you must have to ensure that the
organization should be qualified for 501(c)(3) status. You can verify it from IRS that the
organization is Tax-exempt! Just call the IRS at (877) 829-5500. You can ask them to check the organization
qualified for IRS and either the organization is tax-exempt! Donation of car
having much significant for the poor people in California, because people who
cannot buy their own car and they pay much for transportation they get the car
from charity. Many people contributing in charity to make others life happy.
Moreover, people make donation to charities for their whole life time. Through
the donation of car people want to receive maximum allowable tax deduction.
1. Certified Charity Organization
Certified Charity Organizations are those organization which
are nonprofit organizations. You must be
patient to choosing a charity which are eligible for a tax deduction. The most
important is to ensure that your car should be donated to a tax-exempt nonprofit organization (Certified
Organization). These nonprofit organizations established for education,
religion, or scientific purpose. Religious nonprofit organizations qualify
automatically without filling 501(c)(3) application which includes mosques and
churches. In California the basic purpose of car donation is to contribute in
charity and your car must be given to eligible organization work for public or
charitable purposes to get tax deduction. When you donate car to charity you
must speak to tax-advisor for terms and conditions.
2. Amount of your Deduction
The deduction of your amount actually depends on your
selected organization or charity. It`s onto the charity what they do with your
donated car, or the deduction of amount depend on the market value of your
donated car. Somehow, if charity uses your donated car for delivering food to
needy people or different products to poor families. The Tax deduction will be
according to the value of your car. And if charity sales the your donated car
for over$500, so that the tax deduction will be as total sale amount of your
car.
