Thank you Amy.
We did not have to process this collection! The new Galleries Director suggested that the University take these objects as both a loan from the alumna and a promised gift. This allows the University to understand the extent of the collection and the condition (using existing intern labor) by cataloging and digitizing the collection which will also help with the appraisal, when the time comes. In addition, this allows the donor time to finalize her intentions and work through some of her emotional hesitation around this.
The director has used this process successfully elsewhere.
To your point about asset-tagging and insurance - these questions have been handled separately from the gift valuation, in past cases.
Whew!
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Maureen Aylward
University of Mary Washington
maylward@umw.edu------------------------------
Original Message:
Sent: 07-17-2023 12:30 PM
From: Amy Phillips
Subject: Is this a gift? Donor wants to give art collection but does not plan to claim a tax deduction
Good afternoon, Maureen -
As a quick follow up to John's note, I've found that those responsible at your organization for asset-tagging and potentially insuring gifts like this might want to weigh in on the questions around assessed value. As John noted, this can certainly be a gift but then it falls to your institutional acceptance policies to determine what might get recorded and at what value (whether in the advancement database or the institution's financial database of record).
Good luck as you get this sorted! -Amy
Amy J. Phillips
Director of Advancement Services, Gift Acceptance
Division of University Advancement
The Catholic University of America
620 Michigan Avenue, USCCB 166
Washington, DC 20064
Phone: 202-319-6919
Original Message:
Sent: 7/13/2023 1:18:00 PM
From: John Taylor
Subject: RE: Is this a gift? Donor wants to give art collection but does not plan to claim a tax deduction
It is a gift, and such a situation is described in the CASE Standards. Whether a donor wishes to provide an appraisal is never a factor - we cannot demand that. And it does not matter whether the donor plans to claim a deduction.
What matters is a legal transfer of the property (Deed of Gift). What you record for counting purposes is up to you. CASE states you can use the donor's word for gifts under $5,000. For anything else, you should research - probably online - values for similar items. If there is any doubt, you can ask the Gift Acceptance Committee for their judgment - or count it at $1 until you obtain a third-party valuation.
John
John H. Taylor
Principal
John H. Taylor Consulting, LLC
2604 Sevier St.
Durham, NC 27705
919.816.5903 (cell/text)
Serving the Advancement Community Since 1987
Original Message:
Sent: 7/13/2023 12:46:00 PM
From: Maureen Aylward
Subject: Is this a gift? Donor wants to give art collection but does not plan to claim a tax deduction
We have been asked for the correct procedure in the following situation: An alumna would like to donate a significant number of artworks (paintings, drawings) to our University gallery. She estimates that these are worth more than $5,000, but does not have an appraisal, nor can she afford an appraisal. However, she does not plan to claim this as a tax-deductible gift. She has been working with a development officer and a faculty member for quite some time and is now ready to proceed with this.
Is this a gift? If so, what are our obligations to document the value? The donor will not get a professional appraisal but fears that undervaluing the collection on the gift form will run afoul of IRS guidelines. If this is not a charitable gift, we will refer the matter to the Gallery.
Our staff is inclined to think this is not a charitable gift that we (University Advancement) would accept and process. All of our policies are consistent with IRS guidelines on charitable deductions. We believe the alumna should make an outright gift of this work, deeding the collection to the University. I've found references to deeds of gift, here on the Society of American Archivists which seems to describe this donor's intent.
I'm interested in hearing about other experiences with similar situations and opinions! There is so much knowledge and e
Maureen
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Maureen Aylward
University of Mary Washington
maylward@umw.edu
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