M. Mace

----- Original Message -----
From: Mark Janzen <[log in to unmask]>
Date: Wednesday, October 5, 2005 10:30 am
Subject: Re: [MUSEUM-L] Artist Fair Market Value Deduction
To: [log in to unmask]

> This came up recently as a listserve topic, although I do not
> remember if
> it was here.
>
> The response from a couple sources was that the current state of
> the law
> has not changed. Artists can only claim the costs of the
> materials involved
> in their work.
>
> There is a bill up for consideration which might change that,
> but it has
> stalled for one reason or another. It seems unlikely it will
> pass, as there
> has been such a bill proposed periodically for decades, and it
> has never
> passed. There was no speculation as to the reason that it never
> passes, but
> my suspicion is that it gets shot down by IRS interests.
>
> Why would the government find it useful or feasible to allow
> such a thing?
> To put it another way...An artist who paints a painting for $200 in
> materials and sells it for $100000, clearly makes a lot of money
> and will
> pay significant taxes. Why would the IRS allow that artist to
> paint a
> couple more paintings, donate them, then write off $200000?
> Sounds nice for
> the artist, but a wash for the government.
>
> Perhaps the IRS's issue concerns subsequent owners/buyers taking
> capitalgains/losses on the works. If the artist takes the tax
> benefits, then it
> might have a negative effect on future ability to do so. How
> would a donor
> take tax benefit for giving us a work if that has already been
> done by the
> artist initially?
>
> Discussion? An interesting topic.
>
> Mark Janzen
> Registrar/Collections Manager
> Edwin A. Ulrich Museum of Art
> Martin H. Bush Outdoor Sculpture Collection
> Wichita State University
> (316)978-5850
>
>
>
>
> Sara_Hignite@AISM
>
> AIL.WUSTL.EDU
>
> Sent by: Museum
> To
> discussion list MUSEUM-
> [log in to unmask]
> <[log in to unmask]
> cc
> SE.LSOFT.COM>
>
>
> Subject
> Artist Fair Market Value
> Deduction
> 10/05/2005 11:12
>
> AM
>
>
>
>
>
> Please respond to
>
> Museum discussion
>
> list
>
> <[log in to unmask]
>
> SE.LSOFT.COM>
>
>
>
>
>
>
>
>
>
>
> Does anyone know where tax law currently stands on artists
> making donations
> of their own artwork?
>
> I know that there have been several bills presented to Congress
> over the
> past few years, most recently in February of this year. However,
> I can't
> find any specific information on the status of this bill. So,
> I'm assuming
> that it has yet to make it through the system, which means that
> artists can
> still only deduct the cost of materials used to make a donated
> artwork,versus deducting the fair market value of the work.
>
> Any knowledge you can share will be much appreciated!
>
> Thanks,
> Sara
>
>
> Sara Rowe Hignite, Registrar
> Mildred Lane Kemper Art Museum
> Sam Fox School of Design & Visual Arts
> Washington University in St. Louis
> One Brookings Drive, Campus Box 1214
> St. Louis, MO 63130
> Tel. 314.935.5385; Fax 314.935.7282
> http://kemperartmuseum.wustl.edu
> ========================================================= Important
> Subscriber Information:
>
>
> The Museum-L FAQ file is located at
> http://www.finalchapter.com/museum-l-faq/ . You may obtain detailed
> information about the listserv commands by sending a one line e-mail
> message to [log in to unmask] . The body of the
> message should
> read "help" (without the quotes).
>
>
> If you decide to leave Museum-L, please send a one line e-mail
> message to
> [log in to unmask] . The body of the message should
> read "Signoff
> Museum-L" (without the quotes).
>
> =========================================================
> Important Subscriber Information:
>
> The Museum-L FAQ file is located at
> http://www.finalchapter.com/museum-l-faq/ . You may obtain
> detailed information about the listserv commands by sending a
> one line e-mail message to [log in to unmask] . The
> body of the message should read "help" (without the quotes).
>
> If you decide to leave Museum-L, please send a one line e-mail
> message to [log in to unmask] . The body of the
> message should read "Signoff Museum-L" (without the quotes).
>

The Museum-L FAQ file is located at http://www.finalchapter.com/museum-l-faq/ . You may obtain detailed information about the listserv commands by sending a one line e-mail message to [log in to unmask] . The body of the message should read "help" (without the quotes).

If you decide to leave Museum-L, please send a one line e-mail message to [log in to unmask] . The body of the message should read "Signoff Museum-L" (without the quotes).