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.
The tax deduction only helps you if you itemize on Schedule A — about 1 in 10 taxpayers does. If you take the standard deduction (like most people), the tax benefit won’t reduce your tax bill. Check with your tax advisor if you’re unsure.
How Your Deduction Is Calculated
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.
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.
Other reasons donors choose us
- Free, fast pickup — often within 24 hours, no fees, anywhere in the US
- We accept cars others reject — non-running, salvage title, no title, totaled, problem paperwork
- You’re done in 30 minutes — we handle DMV paperwork, towing, and sale
- Your donation supports scholarships and humanitarian programs through Activated Ministries
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).