One of the toughest decisions to make when you want to get a new car is what to do with the old one. We have seen pretty old cars running around the streets. We have heard of how special the car is and the sentimental value it has for the previous generations. Those cars were there for them when they had their first dates. Or it was the car used to rush someone to the hospital to give birth. Those cars do have a lot of stories with them.

But this is not what other people see when the younger generations drive the old car around. The pride that comes with driving that old car is not the same as it was years ago. Friends make jokes about it. They don't even want to be seen driving it. It gets laughed at and criticized. But this can all change. The old pride can be given back to the car by donating it for a cause. This is probably the noblest thing that one can do for the car that has served his family for several years.

Donating a car is designed to be hassle free. There are many organizations that have programs that will make donating your car very easy. It is also much simpler than repairing it every now and then or selling it. It is also advantageous because you can claim tax deduction out of your donation.

If you are convinced to give your car a worthy flare, here is how to donate a car.

There are a lot of charitable institutions out there that is very eager to accept your car. Find a tax exempt charity registered under section 501(c)(3) of the Internal Revenue Code. You can also choose a religious group that can legally accept your car. Lawful donation allows you to claim rightful deductions.

You are also responsible for determining the car's fair market value. It is the same amount that you can claim for deduction. You need to have your car appraised by a professional if you claim that its value is $5,000 or more.

You will also need proofs of your donation. Keep a copy of the transfer of title to the charity institution. You can also secure a copy of a tax receipt indicating your name, the organization's name and its Federal ID number, complete year of donation and the car's model.

There are certain state regulations that you need to comply after the donation. You will be instructed on what to do with the car's title and plate. Keep all the needed documents such as the receipt and IRS form 8283 completely filled up for tax time.

Donating a car will have a great impact to whoever will be receiving it. You will surely take pride of the car that has been part of your life for quite a while. The old car will definitely be valued by its next user. So choose an institution that will be able to maximize the use of your car while you enjoy the possible tax deduction out of it.