Donate a Car
How Much Can I Deduct?
When you donate a car you may deduct the fair market value when filing your taxes. You can determine this value using tools like Cars.com's Kelley Blue Book Used-Car Values calculator.
The actual amount you are able to deduct is dependent on what the charity does with the donated vehicle. Your charity could do one of the following:
- Sell the vehicle Your deduction is limited to the gross proceeds the charity receives from selling the vehicle. If that amount is less than $500, you may be able to deduct the fair market value up to $500.
- Make use of the vehicle, make a material improvement to the vehicle or sell the vehicle to a needy individual for below fair market value You may be able to deduct your vehicle's fair market value on the date you donated it.
Example Scenarios From the IRS:
Examples1
2
3
4
On April 1, 2007, you donated your car to the local food bank. When you donated the car, you had determined that the fair market value was $4,300. On Nov. 10, 2007, the charity sold your car (to
someone other than a needy individual), without any significant intervening use or material improvement, and received gross proceeds of $3,700. Your deduction may not exceed $3,700.
Donate Now
Select a featured charity to launch the V-DAC-sponsored donation wizard:
Why Donate Your Car to Charity?
Make a differenceYour charity will receive up to 75% of the vehicle's sale price — better than most donation programs.
Get a Tax DeductionDeduct your vehicle's "fair market value" - usually at least $500.
It's Quicker and Easier Than SellingSchedule fast pickup — you don't even have to be there!
Testimonial
"When I heard that I could find a home for my old car and do some good at the same time, it seemed perfect.
The process was quite efficient. I did it all online — it was a snap. The whole donation was done on my schedule
and my charity received over $900 in donation proceeds."
Peggy J, New Hampshire
