DONATE A YACHT

Tax Benefits of Boat Donations With DORIS

A boat donation to DORIS is a fantastic way to get a deduction on your federal income taxes. We have taken the time to answer a few questions to help you understand the basics of boat donation tax benefits below.

For individuals who make a boat donation during a given tax year, the IRS offers tax deductions for qualified gifts. The IRS allows you to deduct the fair market value of your boat donation or other watercraft. All boat donations and any other items donated to our charity are tax-deductible. This includes marine electronics such as fish finders, GPS, radar, autopilots and other marine accessories. However, there are rules that apply to this process.

Determining Fair Market Value For Your Boat Donation

Because your boat donation is not monetary, the watercraft must be appraised at fair market value (FMV). The IRS defines FMV as “….the price that property would sell for on the open market. It is the price that would be agreed on between a willing buyer and a willing seller, with neither being required to act, and both having reasonable knowledge of the relevant facts.” So how do you determine the FMV of your charitable contribution? Charitable organizations are prohibited from assigning value to donations, so identifying how much your donation is worth is very important. Appraisal guide values are available to help you determine the anticipated market value of the boat donation located here: Used Boat Values and Used Boat Prices.

You can substantiate the value of your boat donation by keeping good records, finding similar boats for sale and printing out those sales as a comparison and by seeking out a professional and qualified marine surveyor for an appraisal. Although not required, it would certainly help. A charity should have no hand in the determination of value, PERIOD. Unless, they choose to improve the boat being donated. With this information and with the help of a professional tax advisor, you can evaluate whether or not you need to (or may benefit from) filing IRS Form 8283. You can also learn more through the charitable tax savings calculator provided by Schwab.

Some Of The Benefits Of Boat Donations To DORIS

A boat donation is an outstanding opportunity for a tax-deductible gift that benefits numerous causes and individuals throughout the United States. Your boat donation helps the young women aging out of foster care. It also saves precious time, frustration and expenses: NO MORE dock fees, maintenance, storage, insurance, fuel, classified ads or brokers fees. Your tax deduction is based on a fair market value as established by a qualified marine surveyor. You can get an idea of your boat donations value by visiting this site: Used Boat Values. In many cases, the financial benefits of donating a boat to DORIS outweighs the effort and money spent trying to sell your used boat yourself.

We make a living by what we get, but we make a life by what we give...

DORIS Bounty of the Sea is a 501(c)(3) nonprofit organization (IRS approved EIN# 86-2791158) that provides assistance to young women aging out of foster care. DORIS is a maritime partner to individuals seeking to gain and give the greatest possible benefit and donate smart!