The Problem

With the introduction of the Designer Series Track Kits from 21st Century Tracks, any 1/64 Scale ("H.O.") enthusiast, for the first time ever, can enjoy the dramatic performance benefits of a CNC routed track layout of their own design, and a genuine Formica racing surface with custom one-piece continuous rail.

But let's not put the cart before the horse.   Before even thinking about a new track, the question often becomes:  "What do I do with my old track?!!"

While it's often cost effective to mate a Designer Series Track Kit to an existing table and wiring system, just as often it's not.  Especially when the existing track in question still works and the sentimental strings are still attached ("It was such a pain to build !!" ).  And without the added expense of advertising, it often becomes difficult to find a willing cash buyer among one's own limited circle of friends.

The Win-Win Solution

Rather than beat the bushes for a needle in a haystack, there is an immediate solution that benefits all parties involved, and has the express approval of the IRS: Donate The Track To Your Favorite Charity And Claim Your Gift As A Legitimate Deduction From Your Income Taxes.

From the 1996 IRS 1040 Instructions on page A-3:

"You may deduct contributions or gifts you gave to organizations that are religious, charitable, educational, scientific, or literary in purpose.  You may also deduct what you gave to organizations that work to prevent cruelty to children or animals.  Examples of these organizations are: churches, temples, synagogues, mosques, Salvation Army, Red Cross, CARE, Goodwill Industries, United Way, Boy Scouts, Girl Scouts, Boys and Girls Clubs of America, etc."

Your gift is one of real property and as such there is the matter of verifying its value.
(be honest !!)

If the fair market value of the track is between $250-$500, any of the above organizations will provide you with a written statement showing 1) a description of the real property donated, and 2) whether the organization did or did not give you anything in return.  Make sure the statement is dated consistent with your tax return and keep it for your records.

If the fair market value is over $500, then you must also provide IRS Form 8283 for Non-cash Charitable Contributions.  This form requires the following information:

1. Date Of Contribution
2. Date Acquired By Donor (that's you)
3. How Acquired By Donor (when did you build/buy it)
4. Donor's Cost Basis (what did it originally cost you)
5. Fair Market Value (dollar amount claimed)
6. Method Used To Determine Fair Market Value
   (compare your claim with other tracks sold or advertised for sale)

The IRS thanks you, your favorite charity thanks you,
and you just might thank yourself!!