Car Donating Is Easy: How to Look at the Idea5/5 (1)
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You probably have heard people saying that car donating is easy but somehow you are still skeptical about the overall processing and procedures. Are they really easy and hassle free? What about the arrangement for the pick up? Don’t you have to spend some money for the towing service? What about donating a car with damages? Doesn’t it mean that you need to spend money for the repair? Well, hear out for the basic facts and most general implementation of the car donation processing. It may surprise you on how simple everything turns out to be.
Sure, car donating is easy but it doesn’t mean that it doesn’t take any extra effort on your part. If you aren’t careful or if you underestimate the safety extent of this activity, you may be the one that loses the most. It would be wise to at least understand some of the basic facts about the car donation as well as getting the details from each charity that you want to support. Donating may be easy but it is the future implementation and implication that matter the most.
Keep in mind that you should also be extra careful about the whole thing. First of all, what do you know about the reputation of the charity you are supporting? How about their performance and work? Are they trusted? Have you seen some of the examples work they have done? Second, are they working together with the IRS and are they eligible enough for the tax break perk? Some of these things may need further exploration and observation. If you can do it right, you can make a worthy donation while making the benefits for yourself.
The Basic Procedure
Basically, the car donation program involves some of these easy methods and ways.
You can contact the charity and tell them that you want to donate the car
In most cases, you will have to wait for the charity to review your car and its condition. This step doesn’t take a long time, really, mostly around 24 hours to 48 hours
The charity will get back to you and notify you whether they can accept your donation or they will have to reject it.
They will arrange a pick up service – generally with the towing service they have been familiar with or they have been collaborating with
The pick up service will take your car, giving you a receipt for the proof, and then deliver the car to the charity
The charity will hold an auction to sell the car
Once your car is sold, they will notify you and provide you with the documentation – which you can use for your tax break claim.
As you can see, car donating is easy, right? It is the charity that mostly does the work – all you have to do is to give away the car and simply wait for the result.
Online vs Phone Calls
There are different manners and methods of how to make the donation. You can always give them a call, but not many people like the idea about spending several minutes on the phone, making the arrangements. If you don’t really like the traditional phone call idea, you can always try the online system. After all, another thing to like about today’s donation is the simplicity and flexibility. That’s why car donating is easy as long as you know how.
When you are making the arrangement through online, you can always go to the official website and check their contact info section. They usually provide contact info through phone calls and emails. But if they have their own car donation form page, it will be better – it makes the overall process of car donating is easy. If they do have the page, you only need to fill in the provided sections and then click send or submit. Once they receive it, they will review your form and assess the condition of your vehicle. They will later notify you, whether they will accept or refuse your donation. In most cases, if the car is still in a good condition and it is still in a pretty decent condition, they would welcome your donation anytime. From there, they will proceed with the arrangement for the pick up and further processing.
Basically, the inquiry to process the car donation is just the same with the online system and the offline one. However, you can take as much time as you want with the online system and not having to worry about the phone call expenses.
Crucial Things to Remember
It is always a good idea to remember some of these things:
You want to find a charity with 501 (c)(3) status – NOT the 501 (c)(4) status. The latter one is affiliated to government and political parties. These kinds of charities won’t be able to give tax deduction offer.
You want to find charities that really work together with IRS. They should have the documentation to prove their status. You’d be surprised to know that there are lots of charities claiming to be able to offer the tax break status only to admit that they aren’t really able to do so. But in most cases, it is usually already too late because the car has been donated to them.
Don’t forget to report to the DMV about the status of your ride. Donating the car is just the same as selling it – it includes the title ownership change and such thing alike. Contact your local DMV to make the arrangement and ask them what documentation is needed for such a thing.
It would be best if you are accompanied by a tax expert when you fill out your tax report and you want to claim for the deduction. You don’t want to do this step wrong because it can lead to legal issue on your part.
If you are being thorough and super careful, managing the tax donation should be a breeze for you. After all, car donating is easy so why making it complicated?