Since the Charity used the vehicle for it's own use, you will deduct the Market Value of the vehicle at the time it was donated. If the deduction will be more than $500.00 form 8283 must be filed with your return. TurboTax will walk you through entering the necessary information as it becomes necessary.
Please keep in mind that donations are Itemized Deductions that are reported in Schedule A. If the sum of your deductions in Schedule A do not exceed your Standard Deduction the deductions will not be beneficial to your return. I have included below a list of common itemized deductions. This can help you get as many of these deductions available and make an informed decision regarding your Deduction.
Standard Deduction Amounts for Tax Year 2016
Since the Charity used the vehicle for it's own use, you will deduct the Market Value of the vehicle at the time it was donated. If the deduction will be more than $500.00 form 8283 must be filed with your return. TurboTax will walk you through entering the necessary information as it becomes necessary.
Please keep in mind that donations are Itemized Deductions that are reported in Schedule A. If the sum of your deductions in Schedule A do not exceed your Standard Deduction the deductions will not be beneficial to your return. I have included below a list of common itemized deductions. This can help you get as many of these deductions available and make an informed decision regarding your Deduction.
Standard Deduction Amounts for Tax Year 2016
Thank you. This was very helpful. The value of the engine in question is $1700. I always itemize and get more than the standard deduction. I guess I don't trust Turbo Tax to come back to this engine and help me deal with it. If it was valued at $500 or less, it would have been easy and I would be done. I am scared about messing this up.