If you are recording a noncash donation for which DeductionPro does not provide a value, you must specify how you determined the value of the item. The following table describes each option:
Valuation Method |
Select this option... |
Appraisal |
If you are using an appraisal to value your item. The IRS requires you to get an appraisal if the value of your noncash donation exceeds $5,000. |
Catalog |
If, for example, the item can be valued by reference to a collector’s catalog or price guide. This method is commonly used for donations of collectibles. |
Comparable Sales |
If you are valuing an item by reference to sales of similar items. This method is commonly used for sales of real estate, art, and other items with unique qualities. |
Thrift Shop Value |
For household goods and clothing. |
Used Vehicle Price Guide |
For donations of vehicles valued at $500 or less, or if Box 5a or 5b on Form 1098-C is checked (the vehicle is not being sold at arm’s length). |
Vehicle Sales Price on 1098-C |
For donations of vehicles valued at more than $500. If you receive a Form 1098-C from the charity to which you donated the vehicle, the IRS requires you to use the value reported on it. |
See Donating Your Used Car to Charity in H&R Block’s Guide to Charitable Deductions and Tax Planning for more information.