Giving is always better than receiving and it has proved to be a door opener for so many across the world. A little gift you give to someone may be the saving grace for that person and reward to you is always in many folds. Giving makes the world a better place because wealth is not equally dispersed to different individuals. The haves are bound to give to the less privileged.
Can You Give and Receive at the Same Time?
The answer is absolute yes but it is not in every situation. There is one unique giving opportunity many of us have and it is not farther than our various driveways. Some people prefer to just give and walk away without expecting anything in return but some may want to be uniquely appreciated for their gifts. Some people also do not know that they can gain tax deduction just by giving a car donation to the needy. This is one aspect of car donation that many has not been able to tap into in recent times.
Who can receive your used car Donation?
You can donate your car to a charity home, or elderly people’s home or a grocery store that caters for the less privileged in the society. The use to which they put your used car donation may include but not limited to ferrying old people who can no longer drive to meet their medical appointments, delivering food items to such persons e.t.c These are some relieves that car you leave abandoned in your driveway can offer to people who are not as fortunate as you are in the society. Your used car donation may be a solution to some people’s mobility problem and it will not just add these values to these beneficiaries but will also help you to gain some financial benefits in form of tax reduction.
How Kelly’s Blue Book Can Attract You Some Funds through Used Car Donation
The benefit of your used car donation is mutual in the sense that it benefits not just those charity concerns that receive the car from you but you gain some tax write-off after itemizing your tax deductions and tax bracket permits. This is even more pronounced if the charity used your used car donation for its works. Kelly’s Blue Book can be used to determine the fair market value of the assignments your used car donation is used for. But if the car you donated to the charity is sold off, the entire amount of the sales proceeds can be deducted. This amount has to be less that the Blue Book value before the deduction can take place.
Determine If Your Used Car Donation Qualify For a Deduction
It is vital to determine if your used car donation qualifies for a deduction by checking to see if the Charity firm is recognized as a non-governmental organization according to section 501 of IRS Tax Code. You will get useful information from the officials of IRS. Their website is a good first port of call and if you do not get the desired answer, you can seek for alternation routes.
Filling of IRS Form 8283 is mandatory if your car’s value is between $500 and$5000. You will get the details at the IRS website but remember that it is much better to donate your used car to the charity and get tax reduction than leaving the car in your driveway to continue to rot away.
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