WHEN AND WHY A CERTIFIED APPRIASER IS REQUIRED:
There are certain
ways to appraise the Fair Market Value (FMV) of your donated car. By using online car rating tools like Kelley
Blue Book or the NADA Guides “http://www.nadaguides.com/,”
you can get an initial FMV estimation of your donated car.
If your claimed tax
deduction is greater than $5000 for your donated car, then a written appraisal
of your car is required from a qualified appraiser. As per IRS (https://www.irs.gov/pub/irs-pdf/p4303.pdf),
page 7, 2nd paragraph, following guidelines will help you find the
responsibilities of a qualified appraiser:
- Make sure that the appraiser is
certified by the ASCAA.
- You can find a list of certified
appraisers from the link below:
- As the first step, an appraiser would take
the photograph of your vehicle.
- Would check the car documents.
- Would check the interior and exterior of
your car.
- Would take a test drive of your car.
- A complete inspection of your car that
affects your car value is noted down, which includes:
Ø
Make and Model.
Ø
Inside and outside condition.
Ø
Mileage.
Ø
Replaced parts in the vehicle.
Ø
Modifications in the vehicle.
Ø
Listing of extra features of your car such as security system,
sound system, rims, etc.
Ø
Checking your car’s history report.
- Written appraisal should be mailed
within 10-days.
- The expected date of donation.
- The appraiser should be up to date with the national sales and auction data so that he/she can easily compare your donated car against present market conditions.
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