The Cars for Neighbors
Donating a Car
Q. Will you take a car that isn’t running?
A. We will take cars that aren’t running. Call 763-717-7755 to arrange to have your car towed.
Q. When I donate a car – where do I sign the title?
A. Sign only the front of the title. Print and sign your name exactly as it is indicated under Seller. If more than one person is listed on the title, both must sign.
Q. Do you accept alternate types of vehicles such as RVs or boats?
A. Yes. Please call our office.
Q. Should I remove my license plate?
Q. How do I determine my tax donation amount?
A. Cars for Neighbors is required to provide written notification of the disposition of the vehicle within 30 days. You will receive a 1098c form from Cars for Neighbors to claim the deduction. Your tax donation is either the sale amount or the fair market value if the car was given to a needy individual. See our guidelines.
Q. What tax forms will I need if my vehicle is worth more than $5000?
A. It’s mandatory that you get an independent appraisal if your vehicle value is above $5,000. You must fill out and file Section A of IRS Form 8283 (Non-cash Charitable Deductions). You must also fill out Section B (the required appraisal). For more information, check out IRS Publications 561 (Determining the Value of Donated Property) and 526 (Charitable Contributions) available on-line from the IRS website.
Q. Does Cars for Neighbors ever sell my donated vehicle?
A. If a car requires excessive repairs or isn’t appropriate for a needy family, the car will be sold and proceeds used to repair other vehicles.
Q. What happens if there’s a problem with my car after it’s donated?
A. Once we take possession of your car, we assume full responsibility.
After A Car Is Donated
Q. What happens when a car is donated?
A. The following steps occur after a vehicle is donated:
- The vehicle title is placed in Dealer Hold (eliminating any further liability concerns).
- The donor receives an official Car Donation Receipt.
- Cars for Neighbors inspects your vehicle.
- Upon disposition of car, the donor receives a letter of disposition.
- The car is either given to a needy family or sold.
- If the car is given to a needy individual or sold for over $500 the donor will receive an IRS Form 1098C for tax purposes.
- Any proceeds from a sale are used to benefit the Cars for Neighbors repair clients.
Q. Can I write off my donation?
A. According to IRS publication 526, if you donate a qualified vehicle to a qualified organization and you claim a deduction of more than $500, you can deduct the smaller if:
- The gross proceeds from the sale of the vehicle by the organization.
- The vehicle’s fair market value on the date of the contribution if the vehicle is given to a needy individual.
- A deduction of $500 or more requires an IRS form 1098-C from the qualified organization.
About Cars for Neighbors
Q. What happened to Free To Be, Inc.?
A. Free To Be, Inc. is now called Cars for Neighbors. We’re still the same 501c3 non-profit. We changed our name so that more people can become aware of the services we provide.
Q. Are all car donation charities the same?
A. No. There are 75 charities in MN that recieve donated cars. Only 11 of these donate cars to clients. The rest sell the cars to raise funds. Cars for Neighbors provides nearly as many cars to clients as all the other car donation charities combined.
Q. What is your mission?
A. Fostering independence by providing car care.
Cars for Neighbors
Phone 763.717.7755 Fax: 763.717.7839
1201 89th Avenue NE, Suite 230, Blaine, MN 55434