OK. This is a repost. But this issue will not go away until congress passes this bill. Most artists are generous people. They often give their time and talent to others with little or no reward. But current tax law discourages artists from donating their art to non-profit organizations. The U.S. tax system accords unequal treatment to creators and collectors who donate tangible works (e.g., paintings or manuscripts) to museums, libraries, educational or other collecting institutions. This severely effects public art collections and non-profit fund raising efforts. While collectors may take a tax deduction for the fair-market value of the work, the artist may deduct only their "basis" value—essentially the cost of materials such as paint and canvas. On March 13, 2007, H.R. 1524 - The Artist-Museum Partnership Act was referred to the House Ways and Means Committee. Please urge your congressperson to co-sponsor H.R.1524, which would allow artists to take a fair-market value deduction for works given to and retained by nonprofit institutions. It is easy to do. Americans for the Arts Web site has more information and a simple form that enables you to quickly write to your congressperson.
For example, I recently sold a small painting, "The Rugged Vase," for $900. If the collector now donates the painting to an educational institution he could deduct the $900. Had I not sold that painting but donated it to the same school, I could deduct only $30, the cost paint and canvas.
Friday, April 18, 2008
Support the House Artist Deduction Bill
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2 comments:
Great call Mike!
I'll post the same link to my blog. THis really would help a lot of artists. I often get asked to donate a piece and feel very unhappy about giving my work away for nothing like its value. It's really not right to have one standard for artists and another for collectors and institutions.
Good information, Mike. Working with non-profits for 18+ years, I know it is common practice to ask artists to donate a piece of their work for an auction or other fundraising event. I don't think the organizations realize the artist are not able to get a tax deduction for the full value of their art. Obviously there needs to be more education and I am glad to see there is legislation on this matter. I certainly will support it and with your permission, I would like to share your short piece with my colleagues in the non-profit world (with appropriate credit given to you, of course).
Great article and love your work!
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