How to Donate A Car in California
If you are planning to get rid of your old car and also want to contribute something good to society, donating your car would be the best option. Not only does it help someone in need, but also you can get certain tax deductions. However, the process of donating a car in California can be a little confusing. In this blog, we will guide you through the process of how to donate a car in California.
1. Choose a Non-Profit Organization:
Firstly, you need to choose a non-profit organization that accepts car donations. Make sure that the charity is a 501(c)3 organization. Some popular non-profit organizations that accept car donations in California are the American Cancer Society, American Red Cross, Habitat for Humanity, and Make-A-Wish Foundation.
2. Research the Charity:
Before donating your car to a non-profit organization, make sure to research the charity thoroughly. Check the organization's financial records, reputation, and past work to see if they align with your values, and make sure that the charity uses a high percentage of its donation revenue toward its cause.
3. Collect Information:
After choosing a non-profit organization, collect all the necessary information regarding the donation process. Some organizations may require a specific form to be filled out, while others have a dedicated donation hotline.
4. Determine the Value of Your Car:
The IRS permits you to claim a tax deduction for a charitable contribution worth the fair market value of the donated vehicle. Therefore, it is important to determine the value of your car before donating it. You can either use the Kelly Blue Book or have the car professionally appraised.
5. Get the Required Paperwork Ready:
California law requires certain paperwork while transferring ownership of a car. Make sure to have the title and registration documents ready. Additionally, some organizations may require a release of liability form, odometer disclosure statement, and smog certification.
6. Schedule a Pick-Up Time:
Once you have all the necessary information and paperwork ready, schedule a time and date for the organization to pick up the car. Most non-profit organizations provide free towing services within a specific radius.
7. Transfer the Title:
On the day of pick-up, make sure to sign the title and transfer ownership to the non-profit organization. This will remove your liability from any damages or accidents that occur after the transfer of ownership.
8. Receive a Receipt:
After the transfer of ownership, the non-profit organization will provide you with a tax-deductible receipt. The receipt should contain your name and address, the non-profit organization's name and address, the date of the donation, and a description of the donated car.
In conclusion, donating a car in California can be a simple and hassle-free process if you follow these steps. Not only will you be helping someone in need, but you will also be entitled to certain tax deductions. However, make sure to do your due diligence and research the non-profit organization before donating.