What is the best charity to donate a car in California?
SACRAMENTO – A Sacramento woman who wanted to do a good deed by donating her car to charity ended up getting more than she bargained for.
When she ended up getting violations for her old car that was no longer hers, she reached out to CBS13 and the Call Kurtis consumer research team to look into the matter.
First of all, let’s mention first that the transfer of ownership—along with the release of liability paperwork you’re legally required to fill out with the Department of Motor Vehicles when you sell or donate your car—means nothing if no one registers the car in their name after you.
When Vickie Balog donated her car to the Sacramento SPCA in 2019 — to help animals — she thought she was doing a nice deed. Now, she calls it a mistake.
“And it was a nightmare,” says Balog. “I mean, this fiasco was funny.”
What is the best charity to donate a vehicle to?
The IRS considers a gift or donation directly to, or for the use of, a qualified organization a charitable contribution. (You can use the Tax Exempt Organization Search tool on the IRS website to check the tax status of an organization.) Donations can be cash, but also things like clothing, electronics, furniture, art, stocks, cars and real estate.
Charitable contributions are generally tax deductible, though there can be limitations and exceptions. Eligible itemized charitable donations made in cash, for instance, are eligible for deductions in the year the donation was made, but are limited to a percentage of a person’s income, often 60%.
And while many major credit card issuers allow you to donate your rewards to charity, they are generally not tax deductible. With Discover cards, like the Discover it® Cash Back, for example, you can donate your rewards to partner charities like the American Cancer Society and Make-A-Wish, but the IRS views credit card rewards as discounts, not income.
