STEP 1 — VERIFY NONPROFIT STATUS

Sports Support Inc. provides:

• IRS 501(c)(3) determination letter

• EIN (Employer Identification Number)

• nonprofit contact information

This confirms the organization is eligible to receive tax-deductible charitable donations.

STEP 2 — DEALERSHIP DECIDES DONATION STRUCTURE

The dealership/accountant determines how they want to classify the donation.

Most common structures:

Option A — Charitable Contribution

Vehicle donated directly to the nonprofit.

Option B — Marketing Sponsorship + Donation Hybrid

Part donation / part sponsorship marketing expense.

(This is sometimes attractive because it combines community impact with advertising value.)

Their CPA/accountant decides the best route.

STEP 3 — TITLE TRANSFER

The dealership transfers ownership/title of the vehicle to Sports Support Inc.

This is done similarly to a normal vehicle sale transfer through the RMV/DMV.

Typically needed:

• signed vehicle title

• odometer disclosure

• bill of donation or transfer paperwork

STEP 4 — NONPROFIT PROVIDES WRITTEN ACKNOWLEDGMENT

This is VERY important for IRS compliance.

Sports Support Inc. provides a written acknowledgment letter including:

• nonprofit name

• EIN

• vehicle description

• VIN number

• donation date

• statement confirming whether goods/services were exchanged

This acknowledgment is required for donations over $250.

STEP 5 — IRS FORM 1098-C (IMPORTANT)

Because this is a vehicle donation, the nonprofit may need to provide:

IRS Form 1098-C

“Contributions of Motor Vehicles, Boats, and Airplanes”

This form is usually required when:

• vehicle value exceeds $500

The donor uses this form for tax filing support.

STEP 6 — IF VEHICLE VALUE EXCEEDS $5,000

For higher-value donations like this Range Rover:

The donor may also need:

IRS Form 8283

“Noncash Charitable Contributions”

AND potentially:

• a qualified independent appraisal

This is especially important if claiming fair market value.

Their CPA/tax professional handles this part.

STEP 7 — HOW THE TAX DEDUCTION MAY WORK

This depends on:

• whether the nonprofit keeps the vehicle

• whether it is sold

• dealership inventory accounting rules

• IRS valuation rules

If Sports Support Inc. uses the vehicle directly for programs and outreach, that can potentially affect valuation treatment differently than immediate resale.

This is why: