I know you love her, but if she just isn’t what you need anymore, maybe it’s time to move on. You can choose to sell, demolish, or donate that old boat to clear the way to the new boat of your dreams. (What did you think I was talking about???)

For individuals who decide to make a boat donation, the IRS offers tax deductions at the fair market value for qualified gifts during a given tax year. This includes marine electronics such as fish finders, radar, autopilots, and other accessories. Because your boat donation is not monetary, the watercraft must be appraised at fair market value. Charitable organizations are prohibited from assigning a value to donations, so identifying how much your boat is worth is very important. Find and compare the sales of similar boats in your area to determine current market value. Although not required it can also help to hire a professional, qualified marine surveyor for an appraisal.

Appraisal guides are available to determine the anticipated market value of vessel donations like boatvalue.com or boats.com/nada-guides. By keeping good records of the history of your boat, with the help of a professional tax advisor, you can evaluate if you would benefit from filing a noncash charitable contribution form. 

There are plenty of worthy non-profits who may want your boat. Some organizations require the engine to be in working order while other organizations will take a boat in “as is” condition. Most specify that your donation will support their mission to help a charitable group like veterans, cancer patients or the disabled.

Whatever you choose, be sure to understand all of the requirements involved. For information about local organizations who accept boat donations go to http://www.towboatusbaltimore.com/marinas.html. As always, we are happy to help!