Donating for any cause is highly commendable and appreciated by the millions who benefit from such acts of generosity. It doesn’t always have to be monetary, as charitable organizations have uses for almost all types of donations, be it books, clothes, or even cars. Certain organizations can sell used automobiles and access the proceeds to fund time-critical and emergency projects. Here is how the process of donating a car to charities works.

Pre-qualification criteria for donating
You cannot just contact charitable organizations to request for a car pickup. There are a number of pre-qualification steps to ensure the vehicle and documentation are in order. Firstly, contact an automobile appraiser to find out the current running value of the car. This is a necessary step since most automobiles are resold by the organization to use the cash and pay for project expenses. The vehicle should meet the state and national automobile safety regulations and driving criteria. Secondly, you must possess an original and valid title of the car so it can be transferred to the organization after making the donation.

Types of vehicles accepted as donation
Charities mostly accept all kinds of land, water, and even commercial vehicles that can be put to good use across all 50 states. They are likely to have an online form that you need to fill out to list the vehicle details. These include the vehicle identification number, year, make and model, body type, current mileage, vehicle condition, and valid ownership free of any liens that may compromise the title. Note that every organization will have their own criteria to vet donations as they might partner with separate third-party automobile appraisers and auctioneers.

Understanding the process of car donations
The process will vary depending on the organization. For example, the American Red Cross partners with Insurance Auto Auctions (IAA) to collect car donations made across the 50 states once it has been approved. You have to simply fill a form on the Red Cross website and provide all personal and vehicle particulars. Partner tow companies will be mobilized to pick up your vehicle from any convenient location free of charge. Once the vehicle passes all inspections and the necessary transfer has been made, the American Red Cross will provide a written acceptance to the donor. In addition, you will receive a tax acknowledgment letter that can be later used to claim exemption with the IRS.

Claiming a tax deduction
The Internal Revenue Service mandates certain guidelines for donors to make tax deduction claims based on car donations. Donations must be made to eligible organizations listed on the IRS Publication 78 Data List. Most organizations must register with the IRS to be included in the list, but churches, temples, mosques, synagogues, and government-authorized charities need not be registered under publication 78. Any car donations made to these organizations are eligible for claiming a deduction.

Top charitable organizations that accept car donations
You can make a tax benefit eligible car donation to these three organizations.

Habitat for Humanity
Habitat for Humanity provides affordable housing and shelters by building and repairing new homes. One of the ways the organization raises money for these projects is by accepting car donations. In just the last five years, it has managed to raise over $30 million from eligible car donation sales. You can also claim tax deduction benefits for the same under publication 78.

Ronald McDonald House Charities
RMHC’s vehicle donation program helps raise the funding and capital necessary to support families with ailing children across the globe. The program accepts all types of cars, trucks, motorcycles, trailers, and even boats from their qualifying list. All sale proceeds are used to help families relocate from uninhabitable locations and also set up healthcare assistance for those who cannot afford it.

Canine Companions for Independence
If you are passionate about animals, consider making a car donation to Canine Companions. The organization accepts all types of resaleable vehicles and uses the proceeds to sponsor dogs trained to be service companions. These service dogs make a great care companion for children, adults, and army veterans struggling with disability of any form. Canine Companions also breeds and trains dogs for healthcare, safety patrol, and education causes.

Apart from the aforementioned organization, you can even contact the local charities to find out if they also accept car donations. Remember, all proceeds from the sale of these vehicles will be put to good use by a number of notable and noble charitable efforts across the globe. Check online to do your bit today.