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Can A Retired Person Donate A Car And File For Taxes?

24 Sep

my dad has a 1994 car that he wants to donate but he says he can’t because he is retired and he doesn’t file taxes anymore, what can he do?

 
4 Comments

Posted in Donate Your Car Sacramento

 

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  1. bigbro12

    September 24, 2009 at 8:32 am

    A tax refund is just that; a refund of overpaid taxes.
    If he doesn’t have any income to have taxes withheld from, their is nothing to refund to him.

     

  2. Wayne Z

    September 24, 2009 at 8:35 am

    If he doesn’t have to file taxes, or even if he did but didn’t have any tax liability, a charitable donation wouldn’t give him any tax benefit. Even if he did have tax liability, there would be no tax benefit unless he had enough deductions to itemize.
    A donation can only reduce your tax – since his is already zero, there’s nothing to reduce.
    That doesn’t stop him from donating the car, just means he doesn’t get a tax benefit for it.

     

  3. Judy

    September 24, 2009 at 8:38 am

    if he collects social security benefits – he should be filing a tax return – those benefits are taxable – does he have any other income like interest or pension? those are taxable also.

     

  4. Dr. Deth

    September 24, 2009 at 9:28 am

    He can sell the car and donate the money–the charity would get more money that way….
    (By the way, he can’t sell the car to you for $1 and have you donate it, because if he did, your deduction would be limited to $1.)