Donations to charity can take many forms. People can give money in cash, check, money order or by credit card. They can also give in kind, donating food or new and used items such as clothes, shoes, equipment and tools. Donating a car is not unusual, either, especially since donors are entitled to a tax deduction.

Actually, any old or unused vehicle – trucks, vans, SUVs – can be donated to charity. Even if they are no longer running or in need of extensive repair, charitable organizations will still take them and put them to good use. They can either fix them then give them to deserving families or individuals, or they can sell them and use the sales proceeds for other projects.

People who cannot afford to buy their own means of transportation are the main beneficiaries of a car donation charity. They are given old but running cars or repaired cars, so they can drive to work and access shops and schools. Being mobile is important especially for those living in areas far from public transportation routes.

Even donated vehicles that are too old or too damaged can still be used to benefit the people supported by charities. By selling them for parts or scrap metal, the charity can raise money to fund other projects and activities. The money can also be used to sponsor children or offset operation costs.

For the owners, a car donation charity is not their only option for disposing their old, unused or damaged vehicles. They can repair and sell the vehicles themselves, or they can trade them in a dealership. Both cases require a significant investment of time and effort for the owners.

Selling a vehicle involves advertising, like putting up ads, spreading the word through family and friends, and attending to prospective buyers, such as answering questions, going on test drives, with no guarantee of a sale. Trading a vehicle in a dealership is easier, but car owners may need to shop around to get the best price. With a charitable organization, the process is easier and more convenient for would-be donors.

Donors should make sure to document the fair market value of their vehicle. The tax deduction is equivalent to this value, unless the charity sells the vehicle for a lower price, in which case, the selling price becomes the tax-deductible amount. For example, a $1500 car sold for $1000 entitles the donor to a $1000 off in their taxes.

Donating a car or other types of vehicles is a generous way of showing support to a deserving charity. By being able to provide other families their own transportation or giving the charity another means to fund projects, donors are making a difference in other people’s lives, whether they know it or not. Getting a tax break is just icing on the cake.

Should you have an automobile that probably won’t sell for much, consider looking into donating an automobile to one of the many charities in your city or town. Finding a car donation charity is easy and will also work as a deduction on your taxes.