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If I donate a vehicle to charity how much of it’s total value can I claim as a donation? Value is appraisal is about $10,000

 
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rjs
Level 15
Level 15

If I donate a vehicle to charity how much of it’s total value can I claim as a donation? Value is appraisal is about $10,000

The charity will send you a Form 1098-C showing how much they sold the vehicle for. That's the amount you can claim as a donation. You have to attach one copy of the Form 1098-C to your tax return if you file by mail, or send it to the IRS with a transmittal form if you e-file. See IRS Publication 526 for details about donating a vehicle. You can read the relevant section of Pub. 526 online at the following link.

https://www.irs.gov/publications/p526#en_US_2016_publink1000229709

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4 Replies
rjs
Level 15
Level 15

If I donate a vehicle to charity how much of it’s total value can I claim as a donation? Value is appraisal is about $10,000

The charity will send you a Form 1098-C showing how much they sold the vehicle for. That's the amount you can claim as a donation. You have to attach one copy of the Form 1098-C to your tax return if you file by mail, or send it to the IRS with a transmittal form if you e-file. See IRS Publication 526 for details about donating a vehicle. You can read the relevant section of Pub. 526 online at the following link.

https://www.irs.gov/publications/p526#en_US_2016_publink1000229709

If I donate a vehicle to charity how much of it’s total value can I claim as a donation? Value is appraisal is about $10,000

Here's a pamphlet from the IRS with all the details:
<a rel="nofollow" target="_blank" href="https://www.irs.gov/pub/irs-pdf/p4303.pdf">https://www.irs.gov/pub/irs-pdf/p4303.pdf</a>

Essentially, your deduction will depend on what the charity did with the car.  Actually use it for transportation or auction it off.

If I donate a vehicle to charity how much of it’s total value can I claim as a donation? Value is appraisal is about $10,000

In most cases, it is better to sell the car.  Then you can contribute the cash to the charity of your choice.

If I donate a vehicle to charity how much of it’s total value can I claim as a donation? Value is appraisal is about $10,000

Right, as the charities often sell them for much less than FMV.

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