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Is my vehicle
donation tax-deductible? Your donation
is a charitable contribution that can be deducted from your taxes
if you itemize deductions. Click here
for information on the current tax laws and links to IRS publications.
Since each case is different, consult your
tax advisor. We give no tax advice. |
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Someone offered me $500 for my vehicle. Should I donate or sell it?
If this is an older vehicle in running condition and $500 represents a reasonable private party sale price, then you might want to sell it (and make a donation to the charity from the proceeds) as it's unlikely anything will go to the charity due to the cost of towing and auction. If on the other hand, this is a newer vehicle with an excellent body that has major mechanical problems that are knocking down the value, you might want to donate it because the wholesale price might be higher than the offer you received. For example, a 1989 Buick Regal in running condition will not generate very much to charity but a 1998 Buick Regal with a blown head gasket recently sold for $2500, significantly more than the donor could've sold it for. Plus, donating the vehicle was much easier. |
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What do you do with vehicles?
Vehicles are sold either at dealer auctions or directly to Dismantlers. Actual auction results for similar vehicles in the same market area are used to determine if vehicles will cover the normal costs of auction (transportation, auction and processing fees.) Vehicles that will not cover these costs are sent to Dismantlers while all others are sent to auction. |
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Do you accept all vehicles?
We try to accept as many vehicles as possible as a public service to get older, higher polluting vehicles off of the streets. We even accept airplanes, boats and motorcycles. We do have to draw the line at older, noncollectable vehicles that aren't worth enough to cover the cost of towing and processing. The best way to find out if your vehicle will be accepted is by calling our toll free donation number or completing the online donation wizard.
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How much will the charity receive from my vehicle donation?
The charity will receive about the same amount a car dealer would clear if he accepted the car
as a trade-in, prepared and auctioned the vehicle (including dealer overhead). The amount a charity receives varies with
the age, condition and type of vehicle. Some vehicles cost more to pick up and process than they bring in at auction and so
the charity receives nothing. If your charity is donated a number of vehicles, they should receive between 45% and 60%
of gross auction/sale proceeds.
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What are the costs of the program? How much money goes to the charity?
There are no costs to you or to the charity. The Program costs are detailed on this site
(See Costs). These costs are subtracted from the price received from the highest bidder at the auto auction. The net
proceeds are then delivered directly to the charity you designated.
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How does the V-DAC program compare to other donation services?
The V-DAC program controls costs and tries to return as much of the gross proceeds as possible to
designated charities. While the program delivered an average of 59% of gross proceeds in 2005, some large advertised programs return as little
as 5% to charities. The Attorney General of California reported that charities received only 42% of gross proceeds from
reported vehicle donation programs in 2002. |
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Is it possible that my designated charity will receive no money?
If your vehicle brings in less than the cost of selling it, the charity will get nothing.
The charity receives net proceeds after costs of processing, picking up, preparing and auctioning your vehicle are
deducted. You can get an idea of whether your charity will get a little or a lot from your donation by asking yourself:
"Would a retail buyer purchase my vehicle in the shape its in?" The type of damage your car has is also important in
determining what a used car dealer or salvage operator will pay for it at auction. For example, a vehicle that has small
dents on every body panel and a poor interior will not bring in as much as a vehicle that has a smashed front but is perfect
in all other areas. You can check on how much your vehicle brought at auction by calling our 800 number with your vehicle
information. |
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When I donate my vehicle, is there a towing cost?
There is no cost to you (or the charity) for towing or anything else. You will be contacted to
establish a mutually agreed upon time for pick-up. |
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How should I prepare my vehicle for pick-up when I donate it?
Be sure to remove all of your personal items and the license plates from the vehicle. You may receive further instructions
from our representative when arrangements for the pick-up are made. |
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Must a vehicle be operational when I donate it?
No. Vehicles do not have to be in running order to be accepted for donation. However, they must
be whole, and they must have some actual wholesale auction value. While you may qualify for the Tax Write-off and it clears
the driveway, it is unlikely that vehicles that are not running or Pre-1990 Domestic vehicles will produce any cash for your
charity. These vehicles are often sold directly to dismantlers, and the cost of converting the car to cash will exceed
income and, as a result, the charity will receive nothing.
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Is a title required when I donate a vehicle?A free and clear title is usually required, but not always. This is determined by the age of the
vehicle and the state in which it is registered. We're happy to help you with this part of the donation process; just use
the online Donation Wizard to find out if your state requires title paperwork for vehicle donations. If you need help,
please call 1-866-789-8627.
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What if I have lost my title for the vehicle I want to donate?A free and clear title is usually, but not always, required. Use the online Donation Wizard to
find out if your state requires title paperwork for your vehicle. If you need help, please call
1-866-789-8627. |
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Will you pick up a vehicle anywhere in the United States?
Yes, service is available in all 50 states. |
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What types of vehicles are accepted?
The program accepts all types of vehicles. We handle cars, trucks, RV's, sports utilities,
motor homes, airplanes, farm equipment, construction equipment, etc.
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