If so, you could donate it to a museum or charitable organization. There are various reasons for making this donation:
- A large number of people would benefit
- You would benefit from tax advantages
- You could enrich a collection on a permanent basis
First, you have to decide on the recipient of your gift. If you choose an organization recognized by the Canada Revenue Agency and Ministère du Revenu du Québec, you could receive tax benefits for charitable donations.
Museums and other registered non-profit organizations have explicit policies regarding this type of donation. Contact your chosen organization or museum to learn more about their exact policies, which vary from one organization to the next. In many cases, this must take the form of a written request. Inform them of your intention to donate an artwork, enclose a high-quality photograph of the work, along with documents attesting to authenticity, provenance and purchase price.
Never send an artwork before receiving official acceptance of your gift.
After an appraisal by the organization, the work may be declined for various reasons (it may require extensive restoration, for example, or is not in keeping with the organization’s mission, or has insufficient value). If the gift is accepted, the donor may then send the work to the organization and receive an official tax receipt in return.
- Title of ownership to prove the donor is the rightful owner of the work (sales receipt, sales contract, affidavit) and to establish the purchase price (if possible)
- Ownership history, i.e. a statement indicating the date of acquisition (through purchase, gift or legacy)
- Declaration of authenticity made by a competent and independent appraiser at the donor’s expense
- One or two estimates of the fair market value of the work, if applying for a tax exemption. The number of estimates often depends on the value of the work.
- An evaluation by a recognized independent expert in the field (on the artist, artistic movement, technique, etc.). In the case of a contemporary work acquired from a gallery, the gallery owner could make this evaluation (fair market value).
Certification of Cultural Property for Income Tax Purposes by the Canadian Cultural Property Export Review Board – Application Guide and Supplementary Information —Canadian Cultural Property Export Review Board, September 2010