Car Donation In Mississippi, MS
What You Need To Know
When you donate your car to charity in Mississippi you are putting your weight behind an organization that’s trying to do good work.
However, in order to make sure that both you and your charity come out ahead there are some things in Mississippi that you should make sure you do before donating.
Below, therefore, we have provided all the information you are likely to need if you are thinking about making a car donation in Mississippi.
We have included links to the Mississippi Department of Revenue where appropriate.
1. How To Maximize Your IRS Tax Write-Off?
When you donate your car to a qualifying charitable organization in Mississippi you have the ability to claim a car donation tax deduction.
Under normal circumstances you’ll donate your car, and the charity will then take your car and sell it. You have to wait for the charity to sell your vehicle and provide you with notice that it’s been sold because you can only claim the amount of the gross proceeds as your tax deduction.
Can You Claim More Fair Market Value?
However, if the charity intends on using your vehicle for a significant period of time, it’s going to sell your vehicle at a rate significantly below the fair market value (to a person in need), or if the charity is going to give your vehicle away to a needy person in furtherance of its goals, you are allowed to claim the fair market value of the vehicle on the date that you donated it.
2. How To Maximize Your Charity’s Donation?
When you donate a car to charity in Mississippi you have to remain conscious of the costs the charity is picking up as regards your vehicle.
For instance, while a junk vehicle will often be accepted as a donation, the charity will get more money for a functioning donation. As such you should try and make all repairs, particularly material repairs (which is any sort of repair or upgrade that increases the value of your vehicle), before you donate.
Additionally, even if the charity offers to come and pick your vehicle up you should try and drop the vehicle off yourself. This way the charity doesn’t have to pay the cost of the tow for your vehicle.
Avoid Charities Working With For-Profit Partners
Lastly, try and avoid charities that use for-profit agents or partners, because in these situations the charity has to split profits. Many would-be donors are actually unaware that there may be third parties profiting from the sale of their vehicle and that not all of the sale proceeds goes to the charity.
3. What Can You Donate in Mississippi?
While car donation is common, you can donate a wider variety of vehicle in Mississippi.
This list includes, but is in no way limited to trucks, boats, motorcycles, mopeds, all-terrain vehicles, snowmobiles, planes and other, larger vehicles.
If there’s ever a doubt as to whether or not your vehicle donation is acceptable, such as if you have a farm combine or backhoe you want to donate, then all you have to do is call the charity in question and ask if your donation will be accepted before bringing it to a donation center.
4. What Documents Are Required In Mississippi?
When you donate a car in Mississippi you need to have the title to the vehicle in question.
This isn’t the case for vehicles purchased before the year 1969, snowmobiles, boats or mobile homes, but if you’re donating any other sort of vehicle then you need to get the title.
Replacement or Duplicate Titles
If you need a replacement title for your vehicle then go to the Mississippi Dept of Revenue website. This site provides you with all the information you need to get a replacement title, in addition to all of the contact information you’ll need for local branch offices.
We find the official Mississippi website very unintuitive, lacking in information and often slow. Therefore, if you cannot find the information you are looking for we also recommend visiting the excellent dmv.org website. Read more in the section vehicle and registrations in Mississippi.
5. Where Can You Donate Cars In Mississippi?
Depending on which charity you decide to donate to in Mississippi, you may have to take your vehicle to a different location.
Just because there’s a car donation program or a charity car auction going on, that doesn’t mean that the organization running it is a 501(c)(3) not for profit charity.
In order to find an acceptable group, check the list provided by the Better Business Bureau on their website as well as the useful summary at www.charitynavigator.org.
You will be able to find a number of good causes in all the main towns and cities in Mississippi:
- New Albany
Once you have the charity you want to donate to all you have to do is find out where and when it accepts donations and bring your vehicle to the place in question with all of the paperwork you need to make your donation official.
Donating In Nearby States
The IRS places no restrictions as far as where you donate your auto vehicle. Therefore, if your favorite charitable cause is located in a nearby state or you live on the state border, it might be more convenient to make your donation there.
6. Releasing Liability Of Your Vehicle in Ms?
When making an auto donation you should always be concerned with vehicle liability.
Liability is the legal term which states that you are responsible for all of the accidents and damages that may be caused by your vehicle, even if you’re not driving.
In order to transfer the liability for your vehicle donation you need to present your vehicle title and fill out all of the information in the title transfer section, making sure that the charity is listed as the new owner of the vehicle.
For any other questions concerning liability you should visit the Motor Vehicle Commission’s website and ask representatives to answer all your questions.
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