Before the credit crisis began to take its toll on global markets, car donations were becoming less and less prevalent. This is due largely in part to the change of policy regarding tax deduction claims in 2005. The tax laws were altered in a way that the donor could only claim the amount at which the charity sold the vehicle. This was severely limiting as this can typically be far below fair-market-value.

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Topics: 2009 tax, donating a car, recession, vehicle sales, car donations