Vehicles for Change (VFC) car donors gain a tax advantage that you can’t get with most charities. To understand why you need to know that more than 99 percent of U.S. charities use donated cars for revenue only. They send vehicles directly to auction as is, sight unseen. VFC is different. We are the country’s premiere car donation and car award program, awarding donated vehicles to families in need. Because that’s our mission, IRS regulations allow many VFC donors to claim the full fair market value of their car—the maximum permitted by law. But this is just one way a VFC donor can maximize their tax deduction.
Our seasoned staff inspect each donation to determine how to derive the greatest value for VFC families while maximizing the donor’s tax deduction. Donated cars fall into four categories:
Typically, these cars are less than 12 years old and have fewer than 150,000 miles, although some cars are outside of this range.
Our Automotive Service Excellence (ASE) certified mechanics and Maryland state licensed inspectors oversee and make major and minor repairs, as well as detail the vehicle to maximize its value. Then, we sell it through Freedom Wheels, our retail used-car business. Proceeds allow us to prepare suitable vehicles for more families.
Donors can deduct the car’s fair market value, minus the estimated cost of the major repair. VFC provides these donors with the estimated cost of the repair.
Because they can be expensive to repair and maintain, VFC doesn’t provide luxury cars to low-income families. But if one is in good condition, these vehicles are sold through Freedom Wheels, our retail used-car business.
Our Automotive Service Excellence (ASE) certified master mechanics and Maryland state licensed inspectors oversee and make repairs, as well as detail the vehicle in order to maximize its value. Then, we sell it through Freedom Wheels, our retail used-car business. All proceeds support VFC’s operations.
Donors can deduct the selling price of the vehicle, an amount that is typically close or equal to the vehicle’s fair market value.
This car is detailed and may receive minor repairs by our Automotive Service Excellence (ASE) certified master mechanics to maximize its value. One of several auction partners is selected to achieve the greatest selling price; in many cases, we assign a minimum bid to the car.
Donors can deduct the selling price of their vehicle. It’s important to note that auction houses are a unique market.