Let's say I know an artist who sells their art around 2,000$ a piece. I tell the guy that I want to buy this collection of his for 3,000$ a piece. I buy the collection, wait for some time and decide to donate it to a local fine art museum as a collection for 10,000$ a piece. And then use this donation as a tax write off.
My question is, is there anything besides the owner of the art piece that decide it's value? If not, can I just donate the collection for 200,000$ a piece if I wanted to? Where is the catch with this?
Sorry if this is a stupid question, but I couldn't find anything related other than articles about very rich people doing the same. Why doesn't everyone do it then? Is there a limit somewhere?
Edit: Thanks for all the answers. I was wrong, the owner doesn't get to assign the value of the art piece. Museum/IRS/appraiser/common sense does.
Edit 2: Sorry for asking a stupid question everyone, should've done a bit more research first. I won't delete the post so that next time people doesn't ask the same thing.
Submitted October 11, 2022 at 10:37PM by hejVikk https://ift.tt/kZDQElR
