Vehicle Tax Deductions
January 13th, 2009
Question: What kind of tax deduction do you get for donating a vehicle to charity?
Do you have to donate a total certain amount to get a deduction? I live in MD…
Answer: In order to deduct a charitable contribution, you must itemize using Schedule A. Your total Itemized Deductions must be greater than your standard deduction in order for you to benefit.
A vehicle donation is subject to special restrictions. You cannot automatically deduct the fair market value of the vehicle. If the vehicle is worth less than $500, you can deduct the value. Otherwise, you can deduct the amount that the charity sold the vehicle for.
Only if your donation is used as a vehicle for the charity’s use could you possibly deduct the fair market value.
The charity would provide documentation of your donation.
Items on Amazon Right Now for Vehicle Tax Deductions:
It’s time to take advantage of tax credits and deductions
If you bought a new car, truck or motorcycle after February 16 of this year, you can take advantage of one of several ways to save on your 2009 tax bill.
Tax Tips & Advice : How to Deduct the Cost of a Vehicle Used in Business
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