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Auction Process
How a donated vehicle becomes a tax-deductible amount on Form 1098-C.
What it means
Donated vehicles go to one of two auction types: retail (for running, clean-title cars) or salvage (non-runners, damaged, branded titles). Auction houses inspect, photograph, and list the vehicle. Sale happens at scheduled events. Proceeds go to the charity minus auction fees; net proceeds determine the donor's deduction (with the $500 safe harbor for low-value sales).
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Ready to donate?
60-second form, free pickup nationwide, IRS Form 1098-C after sale.