DONATING A CAR

Physician's Money Digest, July15 2003, Volume 10, Issue 13

Once you've researched the in'sand out's of donating a car to charity,you may decide that junking theclunker will net you almost as muchmoney as the tax write-off—with alot less bother. If you do opt todonate the car, start by getting anaccurate value for it throughEdmunds (www.edmunds.com) orthe Kelley Blue Book (www.kbb.com). The IRS is more likely to flaga return with large noncash contributions,so you'll need the documentation.Next, make sure thatyou're not liable for any future traffic tickets or accidents by transferringthe title yourself—don't assumethe charity will do the paperwork.In the end, many tax expertssay, it may be simpler to sell the carand donate the cash.