Donations
DonationsDonations
Helping Others Helps Yourself Giving a gift to a needy cause can be a very generous deed. Other than being benevolent, it can be self rewarding, especially when April 15th rolls around. Many people think ‘Oh, I ain’t rich myself... how can I afford to help others... I’m the one who needs the help!’ Well, your wrong. Giving certain contributions pay off more than others, and if your are like me, my number one goal in life is to not let the IRS get the best of me. So, if you don’t want the IRS to suck your savings away next year, then I suggest you do a good deed this year... Now here is how...
There are there main items which are commonly donated. First, used cars. Just about all families have an old car that nobody drives... you know... the one that leaves that oil spot running down your driveway. Well usually, if you donate a half- decent looking car, you can deduct the ‘Kelley Blue Book’ value of the car off of your taxes. This is also a good thing to do instead of trading your old car to the dealer when you buy a new one. Your old car will go to help someone and you may even come out making a little more money in the long run.
Antiques and collectables are also good to donate, but the amount of money you receive is wavering. For instance, if you donate a collectible to a museum, and the museum keeps it for display, you receive a market value deduction. But, if the museum decides to sell it, you only receive the amount that you paid for it, so you break out even. Another catch is that you have to own the antiquity for at least a year in order to receive the full market value....
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