Question
An individual donates artwork to San Francisco General Hospital. This was the only charitable contribution the taxpayer makes during the year. The artwork was purchased
An individual donates artwork to San Francisco General Hospital. This was the only charitable contribution the taxpayer makes during the year. The artwork was purchased several years ago for $50,000; it is worth $140,000 at the time of the donation. The taxpayer's AGI is $160,000. Which of the following could be an accurate statement regarding the taxpayer's charitable deduction for the artwork? Show calculations.
a. The taxpayer deducts $80,000 in the current year and carries over $60,000 to the next year.
b. The taxpayer deducts $48,000 in the current year and carries over $2,000 to the next year.
c. The taxpayer deducts $48,000 in the current year and carries over $92,000 to the next year.
d.The taxpayer deducts $50,000 in the current year and carries over $0 to the next year.
e. None of the above statements could be accurate with respect to the taxpayer's charitable contribution deduction.
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