After many inquiries to both Darryl Starbird and the offices of CUSTOM RODDER magazine as to what is involved in donating a vehicle, other rod, and/or custom artifact to the National Rod & Custom Car Hall of Fame Museum, both Darryl and I thought that a column on the subject might be in order. Benefits to you from donating are many and varied. They range from the personal satisfaction that your rod or custom of historic significance will be (upon acceptance) put on permanent display in an accredited museum for enthusiasts both present and future to enjoy and appreciate, to major IRS deductions, and there's always that permanent recognition of your gift. No matter the original source of the artifact, your name will always be associated with it as a matter of record and personal pride.
But, like anything else, you've got to take that first important step, which, in this case, is getting your vehicle (or artifact) appraised, so the amount of that ever-so-important tax deduction can be set. So, here is what you need to know if you're considering such a gift to the museum to add to our hobby's permanent historical record: The National Rod & Custom Car Hall of Fame Foundation is a non profit 501 C-3 foundation, established to preserve an important part of modern American history: the excitement and creativity of the '50s and '60s as expressed in rod and custom cars. Note that there are era-specific exceptions for exceptional earlier or later vehicles, such as the one featured in this article. To this end, there are several avenues you may take to help expand the museum's collection. You may make tax-deductible gifts of cash, appreciated assets, or custom cars and hot rods (or other similarly related items of historic interest), with permanent recognition of your generous donation. Or, you might simply wish to loan such a vehicle or artifact to the museum for a predetermined time-it's entirely up to you.
If you have an historic rod or custom with an appraised value of, say, $150,000, this may be used as a charitable deduction in the year of the gift, and any carryover deductions can be used during the next 5 years. Note that there are no taxes to be paid by the donor on any appreciation or profit. Following is an example of how donating a vehicle directly affects your taxable income. If your adjusted yearly gross income were, say, $500,000 (lucky you), the gift deduction of 30 percent would be $150,000. If your adjusted yearly gross income were but $300,000 (have you considered getting a second job?), and our hypothetical donation still appraised at $150,000, your 30 percent limit would be $90,000, allowing you to carryover a deduction in the amount of $60,000 to the following year. It should also be noted that Hall of Fame inductees who wish to donate their Wall of Fame displays to the museum (as opposed to a long-term loan) might also benefit tax-wise by making it a gift to the museum. Confused? I know I am, but you can have everything explained to you in detail by contacting Darryl Starbird at the National Rod & Custom Car Hall of Fame Foundation (918/257-4234).
Hopefully this brief outline will get you thinking about where you can park that rod or custom of yours so that generations to come will be able to appreciate and enjoy what some of us did with our spare time, way back in the 20th Century.