Giving a plane to a charitable organization

[geep]

Has anyone had any experience with giving a plane to a charitable organiztion and taking the value of the gift as a tax deduction? If so I would be interested in the pro's & con's. I am thinking of selling (giving) my 1993 RV-6, as I have found that the high cost of keeping it vs my actual flying hours makes it hard to justify. The plane flys well and is in decent shape but I am one of those types that hates to sell my own stuff and the endless negotiations that go with it, not to mention the potential liability. So I thought that a gift might be a quick way to handle it and essentially end up with the same net result. Anything wrong woth my thinking?

[Ron B.]

I have a friend that did just that, for the same reasons. Worked out great for him.

[Danny7]

i could be a charitable organization!

[flytoboat]

Originally Posted by geep

The plane flys well and is in decent shape but I am one of those types that hates to sell my own stuff and the endless negotiations that go with it, not to mention the potential liability. So I thought that a gift might be a quick way to handle it and essentially end up with the same net result. Anything wrong woth my thinking?

How would this affect your "potential liability"?

[jasperlv]

liability issues will not change.

several years back i donated a car and received a very generous tax benefit. in december '09 found my teenager's $4K car needed a $4K transmission and approached the tax accountant with the same idea and was informed the tax rules have changed considerably. i assume an airplane would fall under the same taxation rules as an automobile.

the following article from edmonds discusses the tax implications:

http://www.edmunds.com/advice/sellin...0/article.html

as the article states. you might be best served to sell the plane (or hire someone for a small %) and then give some portion of the proceeds to your favorite charity. both you and the charity likely come out far ahead. few charities are set up to sell an airplane. fewer charities are adept at adequately marketing a homebuilt. likely far fewer charities prepared to properly market and transfer a homebuilt are already on your list of favorite charities.

[tdhanson]

Originally Posted by Danny7

i could be a charitable organization!

Me too! And I'll add in an unconditional release of liability.

[N395V]

Call these people.

They probably have no use for an RV but will value it appropriately and are often in a position to sell planes they do not need.

http://www.wings-of-hope.org/

[tcone1]

I've helped a local non-profit receive several aircraft donations. In some instances, the aircraft are donated for use, and in others, the non-profit sells the aircraft and keeps the proceeds. There are a few things that must be done correctly for the donor to get a reasonable donation receipt.

If you are interested in proceeding, pm or email me off list.

Tim
tcone1@comcast (dot) net

[szicree]

The A&P program at the college I work at has accepted several aircraft donations. I am not sure of whether such a donation would qualify for a tax deduction, but in any case aren't we only talking about a deduction to your taxable income, not your tax? If this is the case, we're only talking about 1/3 of the value going back to the donor.

Regarding liability, my school has agreed that the donated aircraft will never be registered.

[GSchuld]

Geep,

I'd give Pat Panzera from Contact Magazine a call. He's a really nice guy and would be very happy to talk to you about possibly donating your plane to his 501(c)(3) charity set up specifically for accepting experimental aircraft/aircraft parts donations only.

From his site:

DONATE YOUR PLANE, PARTS OR PLANS: The first ever ?for aviators by aviators? charity needs your support. Receive tax benefits for a charitable contribution, donating your plane or any of your surplus parts and/or materials. See page 22 of CONTACT! issue #72 or visit ContactMagazine.com for information on our 501 (c)(3) charity. CONTACT! Magazine (559) 584-3306

Contact Magazine
PO Box 1382
Hanford CA 93232-1382
United States of America
(559) 584-3306
(559) 585-0930 Fax
Editor@ContactMagazine.com
Editor: Patrick Panzera

George