It’s a very old 93′ Ford Escort that is barely running. I have been told that it is not possible to donate such an old car and receive the tax break.
Thanks!
How Do I Donate An Older Car In Illinois And Will I Be Able To Deduct It From My Taxes?
08
Dec
Jennifer Spears
December 8, 2009 at 8:26 pm
I am almost positive that you can donate any car in any condition. I would look into local Boys and Girls Clubs as well as the American Cancer Society both will take the car, they even send someone to tow it if I am not mistaken. As far as how much of a tax write off you can get, I am not sure but I am sure what ever place you do decide to donate the car to can let you know exactly what kind of tax write off you would be entitled too. If you google car donations in illinois you get a hand full of sites that would be more than helpful in this process.
Good Luck!
DKR
December 8, 2009 at 8:27 pm
You can call the IRS at 1-800-829-1040 they might be able to help.
For the future you can try Uncle Tax: http://www.UncleTax.com you will be able to file all you late and current tax returns here and they will answer all questions you have. I use this online service to do my taxes and I can always go back to them for any questions, Good Luck
pmorals1
December 8, 2009 at 8:54 pm
Most charities won’t take an old clanger as they will only get salvage value at the junkyard for it — typically less than $100 for a non-runner or barely-runner. It’s not worth their time and effort for the few dollars that it will bring.
The odds of them paying a tow for a non-runner is zero — the tow would cost more than the salvage value.
Junk it for cash and donate the cash. You’ll get a bigger deduction, they’ll get more $$$ and you both will have less hassle.
Bostonian In MO
December 8, 2009 at 9:10 pm
Look at an online phone book and find what finance lawyers there are in Illinois. You usually can call them and find out what there advice is in that situation. You can search for those types of lawyers that have a specialty in taxes, there are a few in Chicago such as Cooke and Lewis Ltd.
Elizabeth M
December 8, 2009 at 9:10 pm
v.b. is right IF your car sells for $500 or more UNLESS the charity elects to use the car for themselves, i.e. drive it, fix it up, etc. First question to ask is whether you itemize your taxes (most homeowners do, most renters do not)? If you do not itemize, the charitable deduction is of no value to you. Second point is to ensure you’re using a qualified charity. If it sells for less than $500, use the cars FMV based on NADA, Kelly Blue Book, newspaper ads, etc.
Good luck!
Count Your Blessings
December 8, 2009 at 9:15 pm
You can donate it for the tax break. The dollar amount of the deduction is the value of the vehicle. Since its so old and barely running, its isn’t worth very much, and therefore your deduction won’t be very big, but you still get the deduction for the value of the item.
SmartA$$
December 8, 2009 at 9:56 pm
The charity will sell the car. They will issue you a 1098-C for the amount it sold for. Your charitable donation will be limited to the amount on the form.