Can A Piece Of Junk Be Considered A Car Donation

Can A Piece Of Junk Be Considered A Car Donation?

Cultivating a sense of charity in a selfish world is indeed a noble cause. But there are times when a charity should say no to such donations and instances when it would be nice to actually think about giving instead of passing on problems.

Trash Is not Treasure

A friend of a friend probably told you how he got a tax break by donating his rusty and useless old car to an IRS qualified charity. Although it may be true that charities may make a little bit of profit by selling scraps, the labor involved may not equal to or even far outweigh the financial fruits. Think about it, if your car has a wrecked engine a rusty chassis and is literally of no use, the charity will have to shoulder the expense of towing, taking the car apart and then transporting it to the junk yard. All those mentioned above takes manual labor, and it’s not free.

An Assertion

Now you may argue that there are online companies that accept junk cars as offerings. Actually, if you do even the slightest research, you will find out that these companies are not charities at all. They are business entities whose business is to be a middleman between individuals and charitable institutions. Let me put it this way: If your nasty old car sells for $100 then the charity only get $5. $5! What will a charity do with $5?!

Be Fair!

Be honest, if someone gave you a ratty car would you like it? Despite desperation, you will probably think, “What then?! This thing will cost me more money!” You see? that’s probably how charities will think too. As a matter of fact statistics will tell you that as much as 5% of all donated cars are a liability to the charities rather than an asset.

On the other hand, if your car is a vintage collectible even if it’s in really terrible shape you just might be able to get a charity that will be overjoyed at receiving your contribution. A vintage car donation is rare because like all antiques they very high resale value, and some are priceless. If you are truly committed to the essence of donating ask the charity to restore the car and then auction it off to the highest bidder.

Besides if you think about it, huge charitable organizations like the American Red Cross only accept “decent looking and functioning Cars.” They need to make a profit so that they can channel it into humanitarian agendas. If your car is only slightly “shameful” the organization has subsidiaries that refurbish the car. Afterwards, they will either use it to carry out their duties or auction it to raise funds.

Don’t Be Crestfallen

If your sentimental old ride can’t qualify as a car donation why don’t you sell it to a junk yard? arranged for it to towed and then use the money and donate it to the charity. If you want the tax cut that goes will the car donation, don’t fret because cash donations are also deductible as long as it is made to an IRS qualified organization. The requirements are pretty much the same as making a car donation. This is simply a friendly reminder that the purpose of giving is to help.