Yes, our driver will issue a donation receipt at the time of pick-up. This is not the final
tax receipt if the sale price of your vehicle exceeds $500. This initial acknowledgement
will indicate the donor’s name as well as the year, make, model and condition of the car
being donated. It will be the only receipt if the vehicle sells for $500 or less. If that
happens, it is up to the donor to determine the value of their deduction as long as it is
$500 or less.
For vehicles that sell for more than $500, donors are no longer responsible for determining
the deductible value of their donation. Instead, they will receive an IRS Form 1098-C,
Contributions of Motor Vehicles, Boats, and Airplanes if the proceeds from the sale
exceed $500, stating the amount of the gross proceeds from the sale of the donated
vehicle. The amount listed on IRS Form 1098-C, Contributions of Motor Vehicles, Boats,
and Airplanes will be the gross proceeds of thte deductible donation.
According to the tax law effective January 1, 2005, if the claimed value of the donated
vehicle exceeds $500, the taxpayer is limited to the gross proceeds of the sale.
An IRS Form 1098-C, Contributions of Motor Vehicles, Boats, and Airplanes will be
mailed to the donor within 30 days of the sale. It will state the amount of gross proceeds
received from the vehicle, provided the vehicle sold for more than $500 and if the donor
provided their Social Security number. This will be the tax receipt for the charitable
If a vehicle sells for $500 or less, it will be up to the donor to determine the value of their
deduction as long as that figure is $500 or less.