Automobile Donations In Maryland

Automobile donations are a great way to give back. Before you donate your boat or automobile to a charitable organization in Maryland, take the time to research your options. That way you can maximize the amount of money that actually goes to charity while taking a car donation deduction on your federal tax return.

Find A Charity Accepting MD Automobile Donations

If you don’t have a charitable organization in mind for your boat or automobile donation, consult either the Better Business Bureau or Charity Navigator. Both of these organizations offer info on charities with high ratings and reviews. Then confirm that the charity you choose accepts vehicle donations.

If you go through a middleman to donate your car, be sure you understand how much of the vehicle's value will actually go to charity. For-profit intermediary organizations can take anywhere from 50% to 90% of the profit on a charitable vehicle donation.

Transfer Your Maryland Vehicle Title

You will need to obtain your Maryland vehicle title to transfer ownership. Visit the MD MVA to request a duplicate title if you cannot locate the original. This agency also handles title transfers when you are ready to hand ownership over to the charity of your choice.

Receive A Tax Deduction For Vehicle Donations

If you want your boat or automobile donation to count as a tax deduction, double check that your charity of choice is an IRS-approved 501(c)(3) organization. Then correctly determine the value of your vehicle.

If the vehicle’s published fair market value (FMV) is worth more than $500, you can determine your deduction after your car has been sold by the charity. Ask for a receipt to prove the exact amount your donated vehicle received at auction. Then complete IRS Form 8283 and submit it with your yearly taxes. For vehicles worth less than $500, you can use fair market value to determine its worth. Then ask the charity for a receipt based on this value.