CAR DONATION TAX LAWS revised
in 2005 FAVOR NEWGATE and YOU!

A major change in the tax code took place in 2005. Beginning January 1, 2005, donated vehicles can be deducted at FAIR MARKET VALUE only if the charity “materially improves” or makes “significant intervening use” of the vehicle. Also, a vehicle may be deducted at FAIR MARKET VALUE when the charity freely gives the vehicle to a needy individual who is in need of transportation.

At Newgate, vehicles used in our training and transportation assistance programs fit the new IRS standards. These vehicles are still deductible at FAIR MARKET VALUE.

Vehicles not used directly in a Newgate program are still deductible at the full price received by Newgate when sold. Newgate's staff handles all phases of a car donation from intake through repairs and sale. None of this work is done by contract with outside firms. This extra care improves the mechanical operation and appearance of each vehicle, often resulting in an increased sale price for Newgate, and a higher tax deduction for you.

Thank you all for your support. As you know, our tuition-free automotive technology school is funded completely by car donations. Please tell your family and friends about Newgate, where donated cars make new lives.