Dec 07 2009
Car donations that come in during December can still make the 2009 tax deduction deadline. Call right away for details and to see how the IRS timeline fits with your personal tax write-off situation for donations.
The year 2009 has been a wild year for car donation and for the auto industry in general. Much of the news swirled around the federal government’s Cash for Clunkers program. The program itself was quite controversial politically and amongst economics scholars. But for the car donation arena, the program’s impact has been decidedly negative.
We’ve seen that many of the used cars that went into the Cash for Clunkers program might have been destined for charity; they were rerouted instead into the scrap and salvage markets, thus both reducing donations to charities and, also, their flooding of the recycle auction markets reduced revenues charities could get from recycling old cars donated to them. We’ll be talking more about this next year.
HR571 – Legislation with Big Potential for Car Donors and Charities
As one of the foremost leaders in the car donation arena, Cars 4 Causes® is always on top of auto industry, auto recycling, and philanthropy trends. For example, one of the little-discussed news items of the year was HR 571, a legislation introduced in January and referred to the House Committee on Ways and Means (where it has languished all the long year). This bill could undo some of the damage done by the limitations on deductions for charitable car donations imposed by Congress in 2004. HR 571 would allow donors to deduct the fair market value of car donations up to $2500, and the appraised value on donations over $2500. This would help charities; higher value car donations have dropped since limitations were imposed, and charities have been on the losing end.
Cars 4 Causes® is following this legislation on behalf of car donors and – even more – on behalf of the charities that depend on vehicle donations to fund their causes. We’ll keep you updated.
But now, at this time of year, we know most of us are focused on the hustle-bustle of the moment. We’re receiving a rush of year-end vehicle donations, with donors concerned about meeting 2009 tax write-off deadlines. And that’s where our focus is, too.
Call us at 800-766-2273 or chat with us online if you have any questions about your donation. We’re here to help. And we thank you for your generous donations; so many of your charities depend on them.