How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask PDtax Your Own Question
PDtax
PDtax, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 4327
Experience:  35 years tax experience, including four years at a Big 4 firm.
64119565
Type Your Tax Question Here...
PDtax is online now
A new question is answered every 9 seconds

A client is a professional artist. The client creates a painting

Resolved Question:

A client is a professional artist. The client creates a painting and donates it to a 50$ charity. The charity immeidately auctions it off for $1500. Can the taxpayer write off the $1500 as a gift of an appreciated asset with no cost basic, but a FMV of $1500?
Submitted: 4 years ago.
Category: Tax
Expert:  PDtax replied 4 years ago.

PDtax :

hi from just answer.

PDtax :

bad news, the only deduction the artist gets is the cost of materials used to create the artwork. No free lunch here.

Customer:

Hello.

Customer:

How is this comparied to someone who donates a piece of land with minimal cost basis, they get to writeoff the FMV, right?

Customer:

Is there a special rule for artwork?

PDtax :

Special rule for artwork.

Customer:

K thanks

PDtax and 2 other Tax Specialists are ready to help you