Donating a tractor

kopeck · Jun 1, 2014

So...something new for me.

I have a tractor on Craigs List, a garden tractor so not a high dollar item. I've had some tire kickers but nothing to serious. I think my biggest problem is it's partially torn down so I can't show how it runs. Yeah, a "ran great when parked".

Someone from a semi local high school contacted me about donating it to their program. I from the sounds of it they want to restore it and use it as their "mascot".

They said they would give me a receipt that I could then deduct the amount from my taxes. Sounds simple enough but is it that simple? I've donated cash before but never an item.

K

Old Roy · Jun 1, 2014

There is a fellow on face book in one of the groups
that has been doing this .. I'll have to look him
up.
I think they only do Wheel Horse tho .

He went to the bother to build like a clubhouse /
Garage , and has a group of local kids redoing
these tractors as a group school project

I'll see If I can get some pics for ya .

Ray · Jun 1, 2014

Goodwill and other charities take vehicles,
tractors etc.They give you a receipt for the tax deduction.It's mostly people with overpriced stuff they can't sell.Myself,i wouldn't consider it a donation if I got paid for it.I would just give it to them.

Geo-TH,In · Jun 2, 2014

There were many places, like goodwill, used to take
cars and give you a receipt saying your junker was
worth $10k. IRS put a stop to that. They can only
give you a receipt for what goodwill sells the car
for.

mkirsch · Jun 2, 2014

Um, it isn't a donation if you get paid for it.

The school is asking him to DONATE the tractor, as in give without compensation. They will give him a receipt for the value of the tractor.

Yes, it is that simple. There's a line on your tax form where you make the claim. Keep the receipt in case you are audited.

showcrop · Jun 2, 2014

(quoted from post at 04:53:04 06/02/14) Um, it isn't a donation if you get paid for it.

The school is asking him to DONATE the tractor, as in give without compensation. They will give him a receipt for the value of the tractor.

Yes, it is that simple. There's a line on your tax form where you make the claim. Keep the receipt in case you are audited.

I don't see anything in his title or post saying that he would get paid for the "donation"?

mkirsch · Jun 2, 2014

I don't see anything in his title or post saying that he would get paid for the "donation"?

No, but Ray made a comment above, "I wouldn't consider it a donation if I got paid for it..."

OldFarmTractor · Jun 2, 2014

I was in the book selling business and donated quite a few books to a local charity. The IRS has a list of various item values. Typically you can deduct the actual value of the item as established by other selling in the same condition.

I never donate to Goodwill. It is a regular, for profit business, paying minimum wage.
Goodwill

kopeck · Jun 2, 2014

(quoted from post at 04:53:04 06/02/14) Um, it isn't a donation if you get paid for it.

The school is asking him to DONATE the tractor, as in give without compensation. They will give him a receipt for the value of the tractor.

Yes, it is that simple. There's a line on your tax form where you make the claim. Keep the receipt in case you are audited.

Thank you, I suspected that was the case, I wasn't sure about the whole value thing but I guess that's up to the receiver of the donation to keep in check. This isn't a ton of money by any means so I doubt it would raise many red flags.

Honestly if I was of more means I would donate it and forget about it. Getting the value back, even if I have to wait until next year, seems like a win, win. The school gets what they want and I will get a few bucks to keep the tractors I do use up to snuff.

K

Old Roy · Jun 2, 2014

works for big business .. know of a time when a
company had a windshield put in charged 500.00
over the cost on the bill. and deducted that as a
donation to bring down billing cost

True donations ya don"t get paid for they may get
paperwork like a receipt for what you were selling
for, but no money changes hands till you claim it
for tax purposes .
Is His first name Scott ? and is he a school
teacher? Those students he has are very much
looking forward to do these little tractors .
They love the homework in his shop he built for
them.. one rule is to belong to the club.. they
must keep up their other grades.. more incentive
for learning ... we need that .

kopeck · Jun 2, 2014

(quoted from post at 06:53:37 06/02/14) works for big business .. know of a time when a
company had a windshield put in charged 500.00
over the cost on the bill. and deducted that as a
donation to bring down billing cost

True donations ya don"t get paid for they may get
paperwork like a receipt for what you were selling
for, but no money changes hands till you claim it
for tax purposes .
Is His first name Scott ? and is he a school
teacher? Those students he has are very much
looking forward to do these little tractors .
They love the homework in his shop he built for
them.. one rule is to belong to the club.. they
must keep up their other grades.. more incentive
for learning ... we need that .

That's exactly what I'm talking about, no cash involved, just a deduction at the end of the year.

No, not Scott. I'm learning a bit more about the program now.

K

Anonymous-0 · Jun 2, 2014

The donation will only count on your income tax if you itemize. If you use the standard deduction it will not help. The amount you would see if you itemize would be the amount of the reciept x the tax bracket you are in. If they list it at $500 and you are at 15% your tax would be reduced $75, at 18% the change would be $90. You are not going to gain the stated value of the item.

kopeck · Jun 2, 2014

(quoted from post at 07:34:48 06/02/14) The donation will only count on your income tax if you itemize. If you use the standard deduction it will not help. The amount you would see if you itemize would be the amount of the reciept x the tax bracket you are in. If they list it at $500 and you are at 15% your tax would be reduced $75, at 18% the change would be $90. You are not going to gain the stated value of the item.

Yeah, I understood that bit as well.

I do need to see if this will be enough the itemize. If it's not enough to bump be over I guess the whole thing would be moot.

K

Donating a tractor

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Old Roy

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Ray

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mkirsch

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showcrop

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mkirsch

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kopeck

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Old Roy

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kopeck

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kopeck

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