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
by the organization.
Material improvements include major repairs and additions that
Example 1 -
improve the condition of the vehicle in a manner that significantly
increases the value. To be a material improvement, the improvement
Example 2 -
cannot be funded by an additional payment to the donee from the donor
of the vehicle. Material improvements do not include cleaning, minor
repairs, routine maintenance, painting, removal of dents or scratches,
Example 3 -
cleaning or repair of upholstery, and installation of theft deterrent
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.
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
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
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.
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
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
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
Instructions for Form 1098-C (2016)