Us vs. Museums

From: Michael Passer <mwp_at_acm.org>
Date: Mon Mar 5 09:34:11 2001

Wouldn't the $90,000 profit realized (the $100,000 donation value
minus the $10,000 price) then be taxable income in this example?

> Let's assume you are in a high tax bracket and looking for a little
relief.
> You find a bargain on a very rare computer and pay $10,000 for it. You
haul
> it down to the local technology museum, who is anxious to have the
donation,
> and agree to give them the item. In exchange you ask them to provide a
> receipt for $100,000 for the machine. Since it's not costing them anything
> and the addition to the museum will entice additional visitors, they
gladly
> agree to provide the receipt.
>
> You claim a $100,000 donation on your tax return and pay taxes on that
much
> less of your income. That would probably be in the 30% - 40% range. Or a
> savings of $30,000 to $40,000!!!
Received on Mon Mar 05 2001 - 09:34:11 GMT