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How to Donate a Car in California

3 min read

If your driveway or garage is graced with an old banger of a car you’d like to see gone, donating it can garner multiple benefits. Gifting a car of any vintage and condition to a charitable organization can support important community initiatives, help the environment, and score you some tax benefits.

Unless your vehicle’s going straight to scrap, most charities accepting car donations typically use a fundraising intermediary to manage the process. The auction house takes its fee off the gross proceeds and passes the net proceeds to the partner organization.

Follow our step-by-step guide below to learn the easiest and most effective way to donate a car in California.

1. Research

Looking into various organizations first can help you avoid handing over your vehicle to one of the many disreputable — or outright scam — organizations out there. Reputable partners hand over around 75 percent of the proceeds to the chosen organization. (Give a wide berth to fundraising partners that pass on less than 60 percent.)

2. Select Your Nonprofit

You may already have an organization close to your heart, making the decision easy. If you’re unsure where to donate your car, use the State of California Department of Justice to look up worthy recipients like Goodwill, UNICEF, Habitat for Humanity, and many more.

3. Get Your Car Ready

Locate your car’s title, as you’ll need this to hand the car over. Then, do a thorough sweep of the vehicle, removing all personal belongings and trash.

4. Complete the Paperwork

Once you’ve designated your charity, it’s time to fill out the notice of transfer and liability form and hand over the car’s title. To follow the correct steps, check out the California DMV for information. The fundraising intermediary you’re working with will ask for basic information, including your contact details, the vehicle’s location and condition, and the VIN, year, make, and model.

5. Schedule the Vehicle Pick Up

Arrange a pick-up time with the organization of your choice. You’ll need to give them the signed transferable title when they take your vehicle away.

Frequently Asked Questions

Do I need to notify the DMV if I donate my car in California?
You need to submit a Notice of Transfer and Release of Liability (NRL) for the vehicle record to be updated. An NRL must be submitted within five days from the date you sell, give away, donate, or otherwise dispose of a vehicle.

Can I donate a vehicle that doesn’t run?
Yes. Most charitable organizations accept vehicles in almost any condition, whether they’re running or not. Non-operational vehicles may still hold value for parts or scrap.

How long does the donation process take?
After choosing a non-profit recipient, completing the donation form and having your vehicle picked up is usually straightforward and can be done in a week or two.

How much will I get for donating a car in California?
If you donate a vehicle in California, you can claim the "fair market value" of the car on your taxes. If your vehicle sells for less than $500, you can deduct up to $500; if it sells for more than $500, you can deduct the total selling price on your tax return. However, speaking with a tax advisor to get accurate information about your situation is always a good idea.

Donating an older vehicle to a nonprofit is a simple process that can benefit you, the donor, and the recipient organization. By following the correct procedure and using a professional intermediary, you can be confident that your donation will be properly handled, maximizing benefits for your chosen charity. Your donation not only supports those in need but also gives you an eco-conscious way to dispose of an unwanted vehicle.

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