Guide To Car Donations, Boats and Airplanes
FORM 8283, NONCASH CHARITABLE
CONTRIBUTIONS
Depending on the amount of the
deduction you claim for the car, you may have to file an
additional form with the IRS with your Form 1040. If
the deduction you are claiming for a donated car is greater
than $500, you must complete Section A of Form 8283.
If the deduction you are claiming is greater than $5,000,
you must get a written appraisal of your car (see Written
Appraisal below). You must also complete Section B
of Form 8283, which must include the signature of an
authorized official of the charity, and attach it to your return.
WRITTEN APPRAISAL
Your written appraisal must
be from a qualified appraiser. See Publication 561,
Determining the Value of Donated Property. The appraisal
must be made no more than 60 days before you contribute
the car. You must receive the appraisal before the due date (including extensions) of the return on which
you first claim a deduction for the car. For a deduction
first claimed on an amended return, the appraisal must
be received before the date the amended return is filed. When you file your income tax return (Form 1040 or
Form 1040X), you will need to complete Section B of
Form 8283, and attach it to your return.
If Section B is required and the charity sells or otherwise
disposes of a car within two years after the date of receipt,
the charity must file Form 8282, Donee Information
Return, with the IRS. On Form 8282, the charity reports
information identifying the donor and itself, and the
amount it received upon sale or other disposition of the
car. The charity must provide you with a copy of the form.
The chart below provides items of recordkeeping and
filing requirements, based on the amount you claim as
a deduction.
State Law Requirements
Car Title
Generally, state charity officials ask the donor to transfer
the car title to the charity, to make a copy of the title
transfer, and to notify the state motor vehicle administration
by updating the information on the donor’s car registration
about any sale or transfer. In some states, however,
there are exceptions to this titling process, and a third
party, such as the charity’s agent, may be able to hold an
open title or insert a dealer’s name. Before donating the
car, you should remove the license plates, unless state law
requires otherwise. This may help you avoid any liability
problems after the car is transferred.
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