As the calendar winds down for 2010, it’s time for you to consider any donations you want to make that can affect your 2010 taxes. Taxable donations are very important, because they can change what your final tax payment – or rebate – is, come April 15, 2011.
Some of the traditional ways to claim a tax rebate include a direct payment to a non profit organization or donating items you already own to a non profit.
One larger tax deduction you can claim is from car donations – especially if you’re interested in upgrading your ride. Contact DonateACar.com before Dec. 31, and you can claim fair market value for the vehicle you’re donating (up to $500) as a car donation tax deduction.
When you contact America’s Car Donation Center, you get to choose a charity or non-profit organization (like United Way, USO and Boy Scouts of America – to name a few) from a list of more than 500 charities. Then a licensed, bonded and insured towing agency will pick up your vehicle from your driveway, hand you the receipt dated for the day you called, and the car is out of your hands.
If DonateACar.com is able to sell your vehicle for more than the $500 maximum fair market value, an IRS Form 1098-C with that greater sale amount will be mailed to you for your car donation tax deduction. And if the car sells after the April 15 tax filing date, you can file an amended 1098-C form later to receive the full deduction.
When you donate a car, not only can you receive tax benefits, but you also are able to benefit a charity that you like to support. The charity will receive the money from your car’s sale, and be able to put it to use in furthering its charitable mission.
In order to claim your car donation on your 2010 taxes, you must contact DonateACar.com, and name the charity you want to support prior to Jan. 1, 2011.
