Digital BW, The Print

Actually Harry. It wouldn't quite be a wash. You would be deducting
all your production cost up front as a business expense on the sale as
well as some proportion as overhead etc just as any other business
would do on a merchandise sale. Since the transactions are totally
independent, you would be able to treat the cash gift as just that and
it would be fully deductible. So you would be able to,in a sense,
double dip,perfectly legally. Your action would have the effect of
causing Uncle Sam to help in the contribution. How's that for a bit of
the butterfly wings/windstorm connection?

Regards
Duane




--- In DigitalBlackandWhiteThePrint@yahoogroups.com, Harry Lockwood
<hflockwood@...> wrote:
>
> The way around this is to sell at the materials cost, and then
donate the
> proceeds.  But that�s the same as simply donating the collection and
> claiming the materials cost.  However, keeping the price that low will
> enhance the probability of sales, hence income to the arts center.
> 
> Thanks to everyone for your time and valuable advice.  As Tyler
suggested, I
> should perhaps focus on generosity to the arts center, which I will do.
> 
> Harry
> 
> 
> On 6/13/07 6:25 PM, "Brian Ellis" <bellis60@...> wrote:
> 
> >  
> >  
> >  
> > 
> > "Why don't you just sell images
> > (indicating on the price card that the proceeds will be donated), and
> > donate the proceeds back to the art center as cash and value your
> > donation as the actual cash sale. That way you get the full deduction
> > of the sale price, the sale validates the amount of the reduction,
> > and the art center gets cash for the building fund."
> > 
> > Because there would be a taxable gain on the sale, which would
offset the
> > charitable contribution deduction and the whole thing would be a wash.
> > 
> > ----- Original Message -----
> > From: "richardeskin" <richeskinphoto@...
> > <mailto:richeskinphoto%40comcast.net> >
> > To: <DigitalBlackandWhiteThePrint@yahoogroups.com
> > <mailto:DigitalBlackandWhiteThePrint%40yahoogroups.com> >
> > Sent: Wednesday, June 13, 2007 8:14 PM
> > Subject: [Digital BW] Re: Valuing Prints
> > 
> > It isn't clear whether the images are being donated to be hung in
> > their new or refurbished building, or as a cash contribution to the
> > building fund.  If the latter why don't you just sell images
> > (indicating on the price card that the proceeds will be donated), and
> > donate the proceeds back to the art center as cash and value your
> > donation as the actual cash sale. That way you get the full deduction
> > of the sale price, the sale validates the amount of the reduction,
> > and the art center gets cash for the building fund. Any images not
> > sold can be donated after the exihibit at material value or, in
> > appreciation for your donation, to be permanently exhibited in the
> > new building.
> > 
> > --- In DigitalBlackandWhiteThePrint@yahoogroups.com
> > <mailto:DigitalBlackandWhiteThePrint%40yahoogroups.com> , "hflockwood"
> > <hflockwood@> wrote:
> >> >
> >> > In a juried process, I was selected to exhibit my (B&W) prints at a
> > non-profit art center in VT
> >>> >>
> >> > Since the center is in the midst of a fund raising effort, I'm
> > contemplating donating the entire
> >> > collection to their building fund, rather than trying to sell
> > them.  Obviously, this raises the
> >> > question of how to value the collection for tax purposes..
> >> >
> >> > So, if I am to claim a charitable deduction, how do I value the
> > donation?  The center has
> >> > agreed that $400 per print, or $10,000 for the collection, would be
> > easily justified.
> >> >
> >> > I'm looking for guidance from others who may have faced a similar
> > situation.
> >> >
> >> > TIA.
> >> >
> >> > Harry
> >> >
> > 
> -- 
> 
> Harry F. Lockwood
> 
> 
> 
> 
> [Non-text portions of this message have been removed]
>