I have recently replaced a car that isn’t worth much and I’m considering either gifting it to a family member (either my brother of his son (15 yrs old) or donating a car to charity. I have found on the net a charity that gives a $500 dollar tax write off for a car, can I get a similar write off by gifting the car to a family member? I would really appreciate information with links, thank you so much.
What Are The Pros/cons Of Either Donating A Car To Charity Or Giving A Car As A Gift To A Family Member?
21
Nov
Sulaiman A
November 21, 2009 at 9:34 am
If you donate it to charity you will be helping others, plus you will get the tax advantage
If you give it to a family member and it breaks down, they might expect you to pay for the repairs or they might resent you for the problems. I guess it depends on the kind of person the family member that your giving it to is.
I don’t think you can get a write-off for giving it to a family member (they are not a charity) plus the family member would have to claim it as income on their taxes.
Aaron
November 21, 2009 at 9:52 am
I think if you give it to a charity, depending on the coutnry you live in, it can be tax deductable.
But if you give it to a family member, he will appreciate you forever. Personally if it is not a big amount, I would give it to a needy family member.
Tax deduction is only for one year, a wreck for a younger brother or son is forever (or at least till he sell it)!