1. What is the GOOD NEWS MOUNTAINEER GARAGE?
2. What are the tax benefits of donating a vehicle to the Good News Mountaineer Garage?
All vehicle donations to GNMG are tax deductible. Your tax deduction may even be equal to your vehicle's fair market value, which can mean a deduction worth hundreds or even thousands more than if you were to donate to another car donation program. If your vehicle is awarded to a family in need, you are eligible to deduct the fair market value. Each donor is responsible for determining this amount.
If your car is sold, GNMG will provide you with official notification of the actual sale amount. If your car sells for $500 or more you are eligible to deduct the amount equal to the gross proceeds from the vehicle's sale. Cars selling for less than $500, are also eligible for a tax deduction, up to a maximum of $500. Please go to the IRS website to review the pdf "A Donor's Guide to Vehicle Donations".
State tax credits may also be available to West Virginia residents who donate their vehicle(s). GNMG receives a limited number of state tax credits so be sure to ask if they are being offered when you contact GNMG to ask about donating your car.
If you have specific questions about how a car donation will affect your taxes, you should consult an accountant or other tax professional.
3. Who receives the cars that are donated?
Good News Mountaineer Garage also provides vehicles to referred clients of the Division of Rehabilitation Services to assist individuals with temporary and permanent disabilities. Eligible individuals must be referred by their counselor.
4. Do I have any liability for my car after it is donated?
No. You sign the title over to the Good News Mountaineer Garage when one of the staff picks up the vehicle, then the program is responsible for the vehicle. GNMG is a licensed used car dealer and we will put dealer's plates on the car to transport it. The vehicle then becomes the legal property of GNMG. We do not provide the car to a family until repairs are completed and a safety inspection is conducted. The family receiving the vehicle must provide us with proof of insurance before they can receive the car.
5. Are some donated vehicles not provided to low-income families?
Not all cars can be used in the programs for low income families. Luxury cars or sports cars may be too expensive to maintain and operate for a family, and it is not always practical to repair a car due to its age and condition. These types of donated cars may be sold and the money put back invested back into supporting the programs. In these cases, the donor may deduct what the car sells for. If greater than $500, programs are required to provide Form 1098-C which the donor must attach to their tax return. The IRS requires the donor's social security number to process this form. If the car is worth more than $5,000, you will need to get an independent appraisal (refer to IRS Publication 561 - Determining the Value of Donated Property).
6. How do I donate a vehicle?
Call 1-866-GIVE CAR (1-866-448-3227) or fill out the online donor form. One of our staff will contact you to discuss your vehicle. If it is determined the vehicle can be used in our program, we will make arrangements to pick it up.