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Step 1
Research New Jersey charities. The Internal Revenue Service provides a list of legitimate tax-exempt organizations. Find out how much of your donation actually goes toward philanthropic work. See if your preferred group needs your vehicle for parts or salvage. Large organizations that offer to help you in the car donation process usually keep most of the money for themselves. Donate your car directly. New Jersey options include Central New Jersey Scouting and the American Children's Cancer Association.
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Step 2
Get a receipt for your donation. If the amount was less than $500 you need nothing else to claim it on your federal taxes. Obtain your car's current market value from the Kelley Blue Book, or a similar source. The charity will provide a sales receipt for cars worth more than $500. Cars valued at over $5000 require an outside appraisal. If the organization actually uses your donated car, you can claim its present market value. Just be fair about its condition.
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Step 3
Sign over the title on your donated car. Transfer of title relieves you of any future liability. Sign the back of the title and add the buyer's name and address, sale price and date, and the number of miles on the odometer. You must transfer title within 10 days of the sale in order to avoid a $25 fine. Snowmobiles and ATVs do not require a title in New Jersey. Remove your license plates and return them to the State of New Jersey Motor Vehicle Commission or any one its regional offices.
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Step 4
Bring the car over yourself. Many charities have to pay people to pick up your vehicle. Every penny saved is that much more that goes to your favorite cause. Always look for the best fit. Junk vehicles can be donated to schools or vocational programs. Let others learn from your generosity.
Donate Your Used Car
