All vehicle donations to Donate a Car 2 Charity benefit Activated Ministries, an IRS-recognized 501(c)3 organization. The IRS allows you to claim a tax deduction based on how your vehicle is used after donation.

How Your Deduction Is Calculated

Sold for $500 or More

Deduct the Full Sale Price

We will send you IRS Form 1098-C within 30 days of the sale showing the exact gross proceeds — that amount is your deduction.

Sold for Under $500

Deduct Up to $500

You may claim the fair market value up to $500 using only the pickup receipt we provide — no additional paperwork required.

Our experienced team evaluates each vehicle to determine the best sale strategy. It is in our mutual best interest to get the highest possible price — but most vehicles sell at wholesale auction and may sell for less than Kelley Blue Book value.

Important: You Must Itemize

The deduction is only of value if you itemize deductions on Schedule A of IRS Form 1040 rather than taking the standard deduction. If you are unsure whether itemizing makes sense for your situation, check with your tax advisor or accountant.

Further Reading

For a full overview of the rules, see our Tax Deduction Guide or download the official IRS Donor’s Guide to Vehicle Donations (Publication 4303).

Ready to donate? Free pickup, IRS receipt included.

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or call us 24/7: 877-505-5775