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Page 2 of 2 Fileid: … s/I1098C/201911/A/XML/Cycle06/source 11:28 - 30-Oct-2019
The type and rule above prints on all proofs including departmental reproduction proofs. MUST be removed before printing.
Boxes 2a, 2b, 2c, and 2d. Odometer Mileage, not include the use of a vehicle to provide training in business skills, such
as marketing or sales. Examples of significant use include the following.
Year, Make, and Model of Vehicle • Driving a vehicle every day for 1 year to deliver meals to needy
Enter the appropriate information in each box. Enter mileage only for individuals, if delivering meals is an activity regularly conducted by the
motor vehicles in box 2a. The following table shows three examples. organization.
• Driving a vehicle for 10,000 miles over a 1-year period to deliver
meals to needy individuals, if delivering meals is an activity regularly
Box 2a - Box 2b - Year Box 2c - Make Box 2d - Model conducted by the organization.
Odometer
mileage Material improvements include major repairs and additions that
Example 1 - 90,000 2006 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 - 1968 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 - 2008 Larson LXI 208 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 FMV
! kilometers. If the odometer is calibrated in kilometers, you must Check box 5b if you intend to sell the vehicle to a needy individual at a
CAUTION convert the kilometers to miles using the following calculation.
price significantly below FMV or make a gratuitous transfer of the vehicle
Kilometers x 0.62137 = miles. to a needy individual in direct furtherance of your organization's
charitable purpose of relieving the poor and distressed or
Box 3. Vehicle or Other Identification Number underprivileged who are in need of a means of transportation. Do not
enter any amount in box 4c. The donor's contribution deduction for a
For any vehicle contributed, this number is generally affixed to the sale for this purpose is not limited to the gross proceeds from the sale.
vehicle. For a motor vehicle, the vehicle identification number (VIN) is 17 Skip this box if the qualified vehicle has a claimed value of $500 or less.
alphanumeric characters in length. Refer to the vehicle owner's manual
for the location of the VIN. For a boat, the hull identification number is 12 Box 5c. Description of Material Improvements or
characters in length and is usually located on the starboard transom. For
an airplane, the aircraft identification number is 6 alphanumeric Significant Intervening Use and Duration of Use
characters in length and is located on the tail of a U.S. aircraft. Describe in detail the intended material improvements to be made by the
organization or the intended significant intervening use and duration of
Box 4a. Vehicle Sold in Arm's Length the use by the organization. Skip this box if the qualified vehicle has a
Transaction to Unrelated Party claimed value of $500 or less.
If the vehicle is sold to a buyer other than a needy individual (as Box 6a. Checkbox for Whether Donee Provided
explained in the instructions for box 5b) without a significant intervening
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 Described
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,
2b, 2c, 2d, and 3.
Box 4b. Date of Sale
Box 6b. Value of Goods and Services Provided
If you checked box 4a, enter the date that the vehicle was sold in the
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
faith estimate of the value of those goods and services including
Box 4c. Gross Proceeds 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
If you checked “Yes” in box 6a, describe in detail the goods and
Completion of Material Improvements or services, including intangible religious benefits, that were provided to the
Significant Intervening Use donor. If the donor received only intangible religious benefits, check the
If you intend to make a significant intervening use of or a material 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
context.
There is significant intervening use only if the organization actually
uses the vehicle to substantially further the organization's regularly Box 7. Checkbox for a Vehicle With a Claimed
conducted activities, and the use is significant, not incidental. Factors in
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 If the vehicle has a claimed value of $500 or less or the donor did not
providing transportation on a regular basis for a significant period of time provide a TIN, you must check box 7. If you check box 7, do not file
or significant use directly relating to training in vehicle repair. Use does Copy A with the IRS and do not furnish Copy B to the donor.
-2- Instructions for Form 1098-C (Rev. 11-2019)
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