If you have decided that the repair on the ten year old vehicle in your drive way would cost almost as much as the value of the vehicle, perhaps you might consider donating the car. Most charities will remove the vehicle from your property regardless of its condition leaving you with a driveway free of broken down eyesores and a receipt that you can turn into a tax deduction just for donating your car.
Some charities repair the cars and other vehicles and make them available to families who have a special need for a vehicle. As long as you make your car donation on or before January 31st you will be able to claim a significant tax donation for your family for that particular year. The tax savings could be significant. Any vehicle can be claimed at $500 without any further proof. Additional proof such as copy of a title, secondary statement from an outside source, the standard blue book value, or receipt from sale of the vehicle will all suffice for the additional proof needed for proof for a non-cash tax donation.
IRS form 8283/standard tax form for non-cash donations can be downloaded from irs.gov and used as the receipt needed for the tax deduction of a vehicle.
The paperwork hassles, towing and clean up are generally handled by the charity receiving the donation. Generally, they require absolutely nothing more of you than that one generous phone call to let them know that you are interested in finding a new home for your car.
Probably the best benefit to donating a car, besides the satisfaction of helping someone else, is the extra place you will make in your driveway for a new car for yourself!
