Hi Frank,
We have a car that we would like to donate to a reputable charity but so far no one from the phone book that I called is calling me back.  Do you know of any local charities that will pick up our car for free and provide a receipt for tax purposes that are on the up and up??  When I lived in New Jersey we used the American Cancer Society because they had a program called Cars for a Cure but unfortunately it doesn't operate around here.  Also what are the rules to follow as far as what you are actually allowed to claim on your taxes for the donated car??  Thanks again for all of your help!!!  You're the Best!!

Dawn

Great place:
http://www.thechildrenshome.org/
Children's Home AUTO SALES!
Donate your car to help us help our kids! Call 610-252-7441(or our main telephone number at 610-258-2831) to inquire about donating your vehicle, or to find out what we have to sell. In 2005, friends of the Home generously donated more than 25 vehicles. The majority of them were old and many of those remaining became part of our fleet of vehicles. Total income from the sales was more than $28,000. We have constructed a small office building to house our auto dealership and we now have our Dealer's License. So call today to ask about buying or donating a vehicle to the Children's Home of Easton!

"Laws that forbid the carrying of arms...disarm only those who are neither inclined nor determined to commit crimes."
Thomas Jefferson

Thats pretty neat HD, thanks for the info.  I don't know any off the top of my head.  there is an organization in allentown that helps homeless that takes donated cars - i just can't remember the name for the life of me right now.
 
as to the rules - yes some changes happened for 2005 (and after)
if the value is greater than $500 you have to claim the lower of
 
proceeds from the sale of the car by the organization or
Fair market value of the car at the date of donation.  there are rules if the FMV is great than the cost but I'll assume that this is an average car and not a classic or high valued car.
 
the organization will have to send you a 1098-c which MUST be attached to your 1040 when you file your taxes.
 
there are a couple of exceptions which i'll post up later today.  if you would like, check out publication 526 http://www.irs.gov/pub/irs-pdf/p526.pdf