I had to research the tax treatment of paintings donated by an artist to a non-profit organization a few years ago for a client. She was not entitled to a fair market value deduction for the donation of "self-created artworks". The clients were disappointed, to say the least.
In general, businesses get a charitable deduction for the cost of property they donate, and individuals get a deduction for the fair market value of donated items. But the "self created artworks" rule seems to trump the generality.
You could take a deduction for the out-of-pocket expenses for what ever you have to do to donate the typescripts; mailing, packaging, maybe insurance.
I heard someone say once that the answer to every tax question is "It depends". Not knowing what entity actually owns the typescripts leaves me with some questions...
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mmmag
IRS Rules for self-created artwork
Date: 2014-07-25 09:37 pm (UTC)In general, businesses get a charitable deduction for the cost of property they donate, and individuals get a deduction for the fair market value of donated items. But the "self created artworks" rule seems to trump the generality.
You could take a deduction for the out-of-pocket expenses for what ever you have to do to donate the typescripts; mailing, packaging, maybe insurance.
I heard someone say once that the answer to every tax question is "It depends". Not knowing what entity actually owns the typescripts leaves me with some questions...