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All you need to know about donating cars for charity

Car donations have been a practice in the country for a long time. Since the 2000s, almost 80,000 Americans have donated cars to charitable organizations.

One can give away their used cars by donating it to charitable organizations. It is a win-win situation for everyone as it provides tax benefits to the donor and some monetary benefits for the non-profit organization at the same time.

Donated cars provide a tax exemption for donors, and it gives them tax benefits too. Car donors need to apply to a tax filing agency, either online or in person before they can donate their cars. Only after agreeing to some post-donation requirements can they exempt themselves from paying taxes. These conditions include a written acknowledgment, numbering your tax returns, and taking a nominal deduction.

If the vehicle’s current value is less than $500, a donor estimates the tax deduction amount on the total value of the car.

A lot of auto insurance agencies and non-profitable organizations do not have the permit to sell donated cars. So, they conduct auctions by hiring auction companies to sell their vehicles for them.

Some websites give donors the chance to sell, donate or even send a car to auction companies. One can use filters to adjust the pickup time, rate, location, and extra services. Some auction companies will even service the vehicle before putting it up for auction.

A website that provides donated cars for sale is Copart. They offer donors a chance to donate their vehicle and also lets organizations check if there are any donated cars for sale. You can either buy the car immediately or place a bid on it. You can find vehicles from various top brands like BMW, Audi, Alfa Romeo, Chevrolet, etc. Cars from 1990 to 2016 are all available on the website.

Other filters on this website are the model, odometer reading, the location of pickup, ownership type, the extent of damage, style of body, fuel type, transmission type, and the capacity. All of these can narrow down your options if you are looking for donated cars for sale. Donations run from high-end vehicles to scrap yard junkers.

Another company that has information about donated cars for sale is Charity Navigator. Their website guides not only donors but buyers as well. You can see the rating on multiple factors that include the model, make, and even the history of the vehicle.

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