Estimate The Car Value to Donate
To find the value of your car, boat, RV or motorcycle, you can visit these reference sites:
Kelley Blue Book: Find the official Kelly Blue Book value for your car, SUV, van or truck.
NADA Appraisal Guides: Used vehicle pricing and information for automobiles, classic cars, motorcycles, boats, recreational vehicles, aircraft and manufactured housing.
Edmunds: Edmunds provides pricing for new and used vehicles based on your zip code location.
Another good way to find out the value of your car donation, is to check the auto classified ads websites or the local newspaper ads for a model with similar wear and tear. Here are a few classifieds sites:
MotorZoo: Price used Cars or Trucks online at MotorZoo Auto Classifieds.
Cars.com Cars.com is your online source to buy new and used cars. Sell your used car, or research car prices, reviews and more.
AutoTrader Visit AutoTrader.com to find listings and information on hundreds of thousands of used cars: location, pricing, & auto classifieds.
The Kelley Blue Book can help you determine your vehicle´s value when you are considering donating cars. In fact, a good car donation charity should provide a link from their website right to the KBB guide itself. It is a valuable first step in learning how to calculate value on vehicles. Go to http://www.kbb.com click on: 'Used cars' at top, and select the year, make and exact model of your vehicle, then press 'GO'. Select "Private Party Value."You also need to fill in the exact mileage on the car and the zip code in which you will be stating that you live on your tax return.
If you donate a car to a charitable organization and wish to claim a tax deduction for your gift, you must determine its fair market value. The fair market value of your vehicle cannot be determined by a charity, the IRS considers that to be a "conflict of interest." A charity´s tax receipt for car donations is, however, proof that you made the donation. If the vehicle has a value of $5,000 or more, then a certified vehicle appraiser must determine the vehicle's value.
Your tax consultant may assist you in deciding how to value your car donation, but you the donor, and not the recipient charity, are required by the IRS to be the sole party responsible for determining what the IRS calls the "fair market value" of your car donation, taking into full consideration its condition at the time of donation. Most vehicle donation programs or a good car donation charity will assist you with this. But when making car donations for charity, it is very important point to be accurate and fair in assigning a value to your vehicle, and to not inflate the value you claim as a tax deduction.
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