How much tax credit do you get for donating a car?

+1 vote
asked Jul 14, 2019 in Other-Cars/Transportation by ju98nothers (320 points)
How much tax credit do you get for donating a car?

1 Answer

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answered Jul 15, 2019 by Essmann (42,860 points)
When donating a car to charity the charity you donated your car too will then sell the donated car and use the funds to fund the charity.

So if the donated car sells for $350.00 to $500.00 then you can deduct $500.00 from your income taxes.

When a charity you donated your car to sells your car then they usually report the sales price of the car to you on an income tax form Form 1098-C.

You can then use that income tax form after the car sold and deduct the amount of money that the car sold for as a donation on your income taxes.

So you could save money on your income taxes by donating an old car to charity instead of scrapping the car.

Just make sure the car donation organization is legit since most legit car donation charities will gladly report to you what the car or vehicle sold for so you can deduct it from your income taxes if you want too.

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