How Do I Make a Gift of Art Using Gift Planning Tools?
Art and art collections can make an ideal gift at death by Will or Revocable Trust. A gift of art made through your will or trust allows you and your family members to enjoy the art during your lifetime. Then, at your death, the art is transferred to the Church or one of its institutions. In isolated situations, art can also be used to fund a life-income gift such as a Charitable Remainder Unitrust. Other Facts You Should Know about a Gift of Art Art may pose special problems for the artist in his or her estate. Gifts of art by the artist to the Church or one of its institutions are deductible for income tax purposes only to the extent of the cost of materials used to produce the art. If art is gifted by the artist to heirs during life or from the artist’s estate at death, it is valued for gift and estate tax purposes at fair market value. This can result in the art being sold to pay taxes, often at less than fair market value, leaving heirs with little or no proceeds. LDS Philanthropi
