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Donating your car is a great way to get involved with charity that comes with several perks.

First, getting rid of your car this way takes away the hassle of trying to find a buyer for it. Also, you can make tax claims based on how much the car was sold for. This is a win-win, as it is a way to both make some money and give back to your community.

About Car Donations

The process of donating your car to charity may not be as straightforward as it seems, as some charities are not very open and straightforward. For example, Cars4Kids was recently questioned about their financial integrity when it was discovered that most of what they collect from donations does not go directly to the intended beneficiaries.

This may be a bummer if your main motivation for giving was helping the less fortunate, but Cars4Kids explained themselves. They said that the money covered administration costs because they do not work through an intermediary, which would be more expensive in the long run.

Most other charities don’t handle the car donation process on their own and subcontract to other organizations instead.

Car Donations and Tax Deductions

In order to make a tax claim on a donated car, you must work with a charitable organization that has in good standing with the IRS. This means that you need to perform background checks on the charity of your choice before donating. If you opt for a third-party, make sure that at least 75% of the proceeds from the sale of your car are donated directly.

Efficiency is another key thing to consider when choosing a charitable organization. That’s because claiming a tax deduction for your car donation requires a lot of paperwork. You will need a receipt reflecting how much the car was sold for, and you will also need to file forms A or B depending on how much the car was sold for.

Lastly, you will need to file IRS form 8283. The charitable organization should be able to help you with this paperwork.

Car Donation Programs to Consider

Here are some of the best car donation programs that could investigate. 

One Car, One Difference

This is a public awareness campaign that acts as an intermediary for car donations. They handle all the aspects of the car donation process and submit the funds to charities.

One Car One Difference works with many charities, including the Boy Scouts of America and the American Red Cross, both of which are reputable charitable organizations. 


This non-profit organization handles both the administration and the charitable aspects of car donations. They raise funds for needy Jewish children, and they go the extra mile to make the car donation process easier for car owners.

As such, they can collect cars that lack titles and the car donor does not even need to be present at the time of collection. They also have licensed and insured towing agents in all 50 states. 

Purple Heart Car Donations

The Purple Heart is a foundation that was created in 1782 by President George Washington to honor US war veterans wounded in combat. This charitable organization is reputable and receives car donations directly through the Purple Heart Car Donations program. 

Charity Motors

Charity Motors accepts vehicle donations and sells their cars to those in need at 50% of their fair market values. The proceeds are donated to a charity of your choice.

Car Donation Wizard

Car Donation Wizard is an arm of Advanced Remarketing Services that accepts car donations. They remit at least 80% of their car proceeds to charities that they work with, including Habitat for Humanity.

The Salvation Army

The Salvation Army is a religious organization that accepts different forms of donations, including cars. The funds collected are channeled towards helping troubled persons function in society.