Isnt it better to donate my vehicle to Charity?
Not necessarily, in the past many people received large tax deductions, because they donate their car to charity. Beginning January 2005 that all changed. If you donated a vehicle to a qualified charitable organization in 2008 and intend to claim a deduction you should review the special rules that apply to vehicle donations. You can deduct contributions to a charity only if you itemize deductions on Schedule A of Form 1040, and there are rules as to what amount can be deducted. For more information view the official IRS governmental Web site at http://www.irs.gov/.
