How to Donate a Car in Marin County, California
- 1). Find a place to donate your car. Just about every established non-profit organization has a means of accepting vehicle donations. In Marin County, these include the American Red Cross, Salvation Army, United Way, Goodwill and American Cancer Society. You can find other charities in Marin County and investigate their fiscal reputation by using Charity Navigator (see References). Contact the organization to determine the exact use of funds from car donations.
- 2). Arrange for vehicle pickup. Some organizations will pick up your car for free while others have designated drop-off locations. Make sure you won't be responsible for additional expenses.
- 3). Transfer the title. In California, transferring the title to another owner is easy. Simply fill out the form on the official vehicle title. Make sure you list the correct address for the receiving organization. Many organizations will use a corporate address rather than the local address. Remove the license plates upon the conclusion of the transfer. If you are not going to transfer the plates to another vehicle, you should simply destroy them. You must notify DMV within five days of the vehicle transfer. Fill out a Notice of Transfer and Release of Liability either online or in person at your local DMV.
- 4). Get a receipt for "fair market value" of car. If you plan to deduct the value of the vehicle and it is worth more than $500, the IRS requires that you properly determine its fair market value. This value is determined when the vehicle is sold at auction by the organization or when it is transferred to a qualified needy recipient. Contact the organization to determine the process for tracking the sale of the vehicle.
- 5). Make the tax deduction. Use IRS form 8283 (see References) to make the official federal deduction. You can use the same value to make a deduction on your California tax filing under itemized deductions. If you plan on making the deduction in the current calendar year, make sure you leave enough time to receive the official fair market value from the organization.