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Rather than selling your car, there are a few options. Many people decide to donate their car to selected charities. This is a very ethical alternative to simply dropping the "lemon" off at the junk yard.

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You have to know where to donate your car because there are many car brokers out there and some are just looking to make a buck out of unsuspecting donors. A little research should be done on the organization that you are thinking of donating your car to.

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While it is easier to just pick an organization after knowing possibly where to donate junk car, it is wiser to know about what happens to vehicle after it is being donated. Know that the most ideal beneficiaries are those that perform de-pollution and produce recycled metals to gain profits for charity groups.

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The one major piece of advice that should be done before donating their automobile, recreational vehicle, or truck is to shop around. There are many companies that have variable donation rates or figures. Donating something as significant as a motor vehicle could potentially generate significant money; unfortunately, there are companies out there that will entice both charities and individuals into donating vehicles, and low-balling the bottom figures for both other parties.

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The best reason for you to donate your junk car is, it becomes a handy tax write off. You just need to obtain a receipt for it, to show that it went to a good cause, and your CPA will see that you get credit for it when tax season comes around.

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The most important thing about tax write offs is to make sure the proper paperwork is done. Once you donate the car you need a receipt. Without this receipt you won't qualify for tax deduction. When you donate a car, the car is inspected to estimate its sale value. There is an exception to dramatically increase the amount of tax write off. It's how the charity uses your donated car. If it happens that your car is used for "significant" tax-approved work for the charity, then you can claim the full market value of the car proceeds. Scams on car donation have been known to exist. Take the time to check out the palce you are planning on making such a substantial donation.

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