Ask how the car donation program operates.

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How do I find out if the organization to or through which I am donating is legitimate?

Ask how the car donation program operates.

Many car donation services take only a small fee for the expense of picking up and disposing of the vehicle. Some intermediaries, such as auction houses and used car dealerships, negotiate terms that leave the charity a tiny percentage of each donation. Find out these particulars, and weigh the pros and cons of each option. Remember that in order to be considered a charitable gift by the IRS, used cars must be given to the charity or a valid agent of the charity. Keep in mind that some for-profit companies also advertise for automobile donations and donations to these companies are not tax-deductible.



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