5 Places to Donate Tools for Tax Credit

5 places to donate tools for tax credit

Now that we are done celebrating the new year we can turn our attention to something we are excited about – tax season. Just kidding. I don’t actually “enjoy” tax season. However, I do enjoy getting as many tax credits as possible, and I like helping out good charities and organizations. Today I’m sharing with you five different charities and places to donate tools.

These charities and organizations that you can donate your old tools to have locations all across the United States. I also share a bit about each organization, so you can pick an organization close by that aligns with your values.


How Much is Your Donation Worth?

Do you like the idea of donating but you’re wondering “is it worth the effort?” Knowing the value of your donation can help motivate you to finally box the stuff up and bring it to a donation center.

Bob Vila created the Fair Market Value Donation Guide. It will help you realize that dusty old drill in the garage is more valuable to you as a tax credit by getting it in the hands of someone who will use it.

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Charities & Places to Donate Tools to

Charities to Donate Tools to

All the charities listed below have long-standing records of direct impact in the communities they serve. As a bonus, most of these organizations can be found in all 50 states for you to easily donate your tools.

Habitat for Humanity

Habitat for Humanity (Habitat) may be the biggest organization with the most direct impact that you can donate tools to. Habitat for Humanity has locations in all 50 states and is most known for low-cost home construction for low-income families and individuals. The tools you donate could literally help build someone a home.

Most people also know about Habitat for Humanity ReStore centers. These stores resell furniture and home renovation supplies to the public to help fund the organization. Because of its multiple services Habitat for Humanity accepts a long list of donations and ways to get involved.

Habitat for Humanity accepts the following donations:

  • Hand tools, power tools, building equipment, and materials.
  • Old appliances, home decor, and fixtures.
  • Labor – join a local Habitat chapter and donate your time to help with home construction, home repair, and more!

Want to donate? Donate tools and more at your nearby Habitat ReStore.

No Habitat Restore by you? Reach out to a local Habitat chapter. Some chapters take donations to use in upcoming builds or sell third-party to support their organization. Either way, you should still receive tax credit for your donation.

Goodwill Industries

Goodwill is a popular secondhand clothing and goods store that has been around since the 1950’s. Most people may see it as a place to save on mostly clothing and home goods. However, Goodwill Industries offers a variety of services and programs, such as employment opportunities and job training to at-risk youth and seniors, youth mentoring, and multiple programs to fight poverty.

Goodwill stores help fund these programs and opportunities and your donations keep these stores alive.

Goodwill accepts hand tools, small power tools, lawn and garden tools, and smaller outdoor power equipment. Have more to donate? Check out Goodwill’s Accepted Donations.

To donate find a Goodwill near you.

The Salvation Army

The Salvation Army is one of the oldest charitable organizations around. This global organization focuses on ending homelessness and drug addiction for people of all ages, and has around 8,000 locations in the U.S.

Your donations help fund their programs. The Salvation Army actually takes more donations in than some other donation centers and accepts tools of all kinds. You may just be responsible for unloading the items yourself.

Want to donate tools? Follow this link “Schedule a Pickup” for a full list of drop-off locations and eligible pickup services.


It’s great helping out an organization you believe in, but what if you could help out multiple organizations? PickupPlease is a donation pickup program that supports a variety of charities including Vietnam Veterans of America, Veterans Voice of America, The Special Olympics of Texas, and Teen Challenge of Southern California.

PickupPlease currently has locations in 15 states across the U.S. and accepts tools of any kind as long as the driver can load and unload the items alone.

Schedule a pickup to donate tools, equipment, and more.

Tool Libraries

Okay, we’re going to break the rules because this isn’t an organization. But tool libraries are a great way to provide affordable access to tools to a wide variety of people. A lot of major cities have their tool library/sharing program, along with some larger communities. Local Tools is a great resource for finding a tool library near you.

There are a lot of tool libraries out there, but these are a few we want to mention:

Each tool library program will operate differently. So, just make sure you understand the program before you join.

Tool libraries love tool donations and many are nonprofits that offer tax credit in exchange for your donation. Again, just check with your local tool library before donating.

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Tool Recycling

Places to recycle tools

Tool donation isn’t the only way to get a credit. Your tools are made out of precious metals and materials that many people want to keep out of landfills. Tool recycling is a great alternative if you don’t have any of the above organizations near you, or your tools are not in working condition.


Earth911 helps you find either a donation center or recycling center to take your donation. Again, this can help you find a smaller organization that didn’t make our list of national charities to donate tools and more to. Earth911 also helps you find how to responsibly recycle your items. We can’t guarantee a tax credit in return, but a lot of reputable organizations do offer tax or cash incentives.

To get started, try out the Earth911 Recycle Search.

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Well I hope our list motivated you to clean out your garage and workshop. Yes, tool donation is great for decluttering and going into the new year more organized. But it’s even better to get those tools to people who need them.

I wish you luck on your taxes this year. Also, let us know what you’re spending your tax refund on? Ridiculous answers only.


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