Top Ways to Save On Taxes With Your CarBen Wojdyla4/11/08 4:41pmFiled to: NoveltiesAutomotive Tax DeductionsConsumeristFeatureFederal GovernmentIRStax creditsTax RatesTax SeasonTaxTaxesTop181EditPromoteShare to KinjaToggle Conversation toolsGo to permalink We're there again, that part of the year when the bony finger of Uncle Sam slips its way into your wallet and takes what it deems to be a fair share of your hard earned money. That's right, it's tax season. That time honored tradition of putting everything off until the last minute then filing as close to midnight on April 15th as possible will be once again in full glory, and local TV will once again run 11PM news coverage of the blessed event. But how about we talk about lowering those taxes the only way we know how *— with your car.AdvertisementDonate that old Jalopy to charity Seeing old cars go is sometimes a heart wrenching experience. You babied that old Dodge Monaco through thick and thin, and she did you right, but it's time for the relationship to end. Instead of going through the hassle of listing it in the want ads and inspecting potential buyers to make sure they'll take good care of her, why not just donate it to charity? It is after all just a car, and if you let them haul it away you'll get to claim 100% of the auction value the charity receives on the car against your taxes — if it goes for more than $500. Okay, so maybe half a grand isn't a lot and you can't use this one unless you exceed the standard deduction, but every little bit helps.Buy a hybrid In the zeal to encourage the population to buy into a technology both unproven and dubiously implemented for fuel economy, the Federal government offers a tax credit to those who buy hybrid cars like the Ford Escape. The credit varies based on number of manufacturers vehicles on the road and fuel economy so choose wisely.