Registered Nonprofit Organization
Before you donate your automobile to any nonprofit, check if they are a 501(c)3 International Revenue Service (IRS). In case they are not registered, you may not get a tax reduction. Don’t be scared, verifying a charity if it is IRS registered, check out IRS website. If it isn’t a qualified charity, then IRS will not allow tax deduction.
Itemize your Deductions
It is only when you itemize your deductions, you receive a tax deduction. So, it is better to be careful when filling out the tax form.
After you Donate
It is your right to know what purpose your donated vehicle will serve. You can take a confirmation from the charity whether it will be used by the charity or been auctioned or sold. However, if your aim is to get maximum tax deduction, then make sure the charity will not auction the car. It will either use it themselves or sell it off to someone needy.