You've seen the ads - give your car to a good cause and get a tax break. Sounds great! But if you're not careful, you won't get much of a tax break and your favorite charity won't get as much as you'd hoped. Here's how to keep that from happening:
* Find a charity you support that accepts cars directly. Otherwise, the middleman gets part - if not most - of the proceeds.
*Get all your paperwork. To take a deduction, you must have paperwork from the charity showing what they received from the car.
Giving an asset such as a car is smart. For one thing, most of us can be more generous giving away noncash items. And if you give away an extra car, you stop paying insurance and other expenses immediately, too.
Read this article from Foxnews.com for more information.