If you donate it to an eligible organization, they'll give you a form after they sell it showing how much they sold it for - that will be your deduction amount IF you itemize. If you don't itemize, there's no deduction.
Your tax savings would be a percent of the deduction if you can take one, the percent being your tax bracket. For most people that's 15%, so if the car is sold for $2000 the tax savings would be $300.
You're better off financially selling it yourself, then if you want to donate some of the money to the organization, go ahead but don't donate the car just for the tax savings, since it won't be much.
It is always better to sell it out right.
If you itemize, you can deduct charitable contributions. How much these benefit you depends on your tax bracket. For example, if you are in the 25% bracket, a $1000 only nets you $250 on your taxes.
Plus....there are now additional rules and restrictions when you donate a vehicle.
Sell it and donate the cash instead. The amount of your deduction is limited to the actual sales proceeds.
The tax laws have changed so if you want to take a deduction greater than $500, you'll need a receipt from the non-profit for the amount that they actually sold it for.
In certain counties in California, if its old enough (mid 80's cars qualify), the county will pay you $650 for the vehicle to get it off the road.
You usually get more money for a vehicle by selling it yourself as opposed to taking the writeoff. Of course, then you have to do the work of listing, cleaning, and selling the vehicle.
================================================================
Special offer: Free Domain & cPanel Hosting for only $2.99 at https://SecureSignup.net !
================================================================
Spam Filtered (ID:3479463)
0 ความคิดเห็น:
แสดงความคิดเห็น