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Driving a vehicle for 10,000 miles over a 1-year period to deliver meals

Box 2a -

Box 2b - Year

Box 2c - Make Box 2d - Model

to needy individuals, if delivering meals is an activity regularly conducted

Odometer

by the organization.

mileage

Material improvements include major repairs and additions that

Example 1 -

90,000

2004

Ford

Explorer

improve the condition of the vehicle in a manner that significantly

car

increases the value. To be a material improvement, the improvement

Example 2 -

1966

Piper

Cub

cannot be funded by an additional payment to the donee from the donor

airplane

of the vehicle. Material improvements do not include cleaning, minor

repairs, routine maintenance, painting, removal of dents or scratches,

Example 3 -

2006

Larson

LXI 210

cleaning or repair of upholstery, and installation of theft deterrent

boat

devices.

Box 5b. Vehicle To Be Transferred to a Needy

Donees must ensure that the odometer reading is in miles, not

Individual for Significantly Below Fair Market

kilometers. If the odometer is calibrated in kilometers, you must

convert the kilometers to miles using the following calculation.

Value

CAUTION

Kilometers x 0.62137 = miles.

Check box 5b if you intend to sell the vehicle to a needy individual at a

price significantly below fair market value or make a gratuitous transfer of

Box 3. Vehicle or Other Identification Number

the vehicle to a needy individual in direct furtherance of your

organization's charitable purpose of relieving the poor and distressed or

For any vehicle contributed, this number is generally affixed to the

underprivileged who are in need of a means of transportation. Do not

vehicle. For a motor vehicle, the vehicle identification number is 17

enter any amount in box 4c. The donor's contribution deduction for a

alphanumeric characters in length. Refer to the vehicle owner's manual

sale for this purpose is not limited to the gross proceeds from the sale.

for the location of the vehicle identification number. For a boat, the hull

Skip this box if the qualified vehicle has a claimed value of $500 or less.

identification number is 12 characters in length and is usually located on

the starboard transom. For an airplane, the aircraft identification number

Box 5c. Description of Material Improvements or

is 6 alphanumeric characters in length and is located on the tail of a U.S.

Significant Intervening Use and Duration of Use

aircraft.

Describe in detail the intended material improvements to be made by the

Box 4a. Vehicle Sold in Arm's Length

organization or the intended significant intervening use and duration of

Transaction to Unrelated Party

the use by the organization. Skip this box if the qualified vehicle has a

claimed value of $500 or less.

If the vehicle is sold to a buyer other than a needy individual (as

explained in the instructions for box 5b) without a significant intervening

Box 6a. Checkbox for Whether Donee Provided

use or material improvement (as explained in the instructions for box 5a),

Goods and Services in Exchange for the Vehicle

you must certify that the sale was made in an arm's length transaction

between unrelated parties. Check the box to make the certification. Also

Described

complete boxes 4b and 4c. Skip this box if the qualified vehicle has a

You must check the box to indicate whether you provided goods or

claimed value of $500 or less.

services to the donor in exchange for the vehicle described in boxes 2a,

Box 4b. Date of Sale

2b, 2c, 2d, and 3.

If you checked box 4a, enter the date that the vehicle was sold in the

Box 6b. Value of Goods and Services Provided

arm's length transaction. Skip this box if the qualified vehicle has a

in Exchange for the Vehicle Described

claimed value of $500 or less.

If you checked “Yes” in box 6a, complete box 6b. You must give a good

Box 4c. Gross Proceeds

faith estimate of the value of those goods and services including

intangible religious benefits. Include the value of any goods and services

If you checked box 4a, enter the gross proceeds from the sale of the

you may provide in a year other than the year that the qualified vehicle

vehicle. This is generally the sales price. Do not reduce this amount by

was donated. Pub. 561, Determining the Value of Donated Property,

any expenses or fees. Skip this box if the qualified vehicle has a claimed

provides guidance for providing an estimate for the value of goods and

value of $500 or less.

services.

Box 5a. Vehicle Will Not Be Transferred Before

Box 6c. Description of the Goods and Services

Completion of Material Improvements or

If you checked “Yes” in box 6a, describe in detail the goods and

Significant Intervening Use

services, including intangible religious benefits, that were provided to the

If you intend to make a significant intervening use of or a material

donor. If the donor received only intangible religious benefits, check the

box.

improvement to this vehicle, you must check box 5a to certify that the

vehicle will not be transferred for cash, other property, or services before

An intangible religious benefit is one that is provided by an

completion of the use or improvement. Also complete box 5c. Skip this

organization organized exclusively for religious purposes and which

box if the qualified vehicle has a claimed value of $500 or less.

generally is not sold in a commercial transaction outside the donative

There is significant intervening use only if the organization actually

context.

uses the vehicle to substantially further the organization's regularly

conducted activities, and the use is significant, not incidental. Factors in

Box 7. Checkbox for a Vehicle With a Claimed

determining whether a use is a significant intervening use include its

Value of $500 or Less

nature, extent, frequency, and duration. For this purpose, use includes

providing transportation on a regular basis for a significant period of time

If the vehicle has a claimed value of $500 or less or the donor did not

or significant use directly relating to training in vehicle repair. Use does

provide a taxpayer identification number, you must check box 7. If you

not include the use of a vehicle to provide training in business skills, such

check box 7, do not file Copy A with the IRS and do not furnish Copy B

as marketing or sales. Examples of significant use include:

to the donor.

Driving a vehicle every day for 1 year to deliver meals to needy

individuals, if delivering meals is an activity regularly conducted by the

organization; and

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Instructions for Form 1098-C (2016)

Instructions For Form 1098-C - Contributions Of Motor Vehicles, Boats, And Airplanes - 2016 Page 2

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