In addition to cash contributions to charity, Dean decided to donate shares of stock and a portrait painted during the earlier part of the last century. Dean purchased the stock and portrait many years ago as investments. Dean reported the following recipients:
| Charity |
Property |
Cost |
FMV |
|
State University
|
cash
|
$15,000
|
$15,000
|
|
Red Cross
|
cash
|
14,500
|
14,500
|
|
State History Museum
|
painting
|
5,000
|
82,000
|
|
City Medical Center
|
Dell stock
|
28,000
|
17,000
|
a) Determine the maximum amount of charitable deduction for each of these contributions ignoring the AGI ceiling on charitable contributions.
b) Assume that Dean's AGI this year is $150,000. Determine Dean's itemized deduction for his charitable contributions this year and any carryover.
c) Assume that Dean's AGI this year is $240,000. Determine Dean's itemized deduction for his charitable contributions this year and any carryover.
d) Suppose Dean is a dealer in antique paintings and had held the paintings for sale before the contribution. What is Dean's charitable contribution deduction for the paintings in this situation (ignoring AGI limitations)?
e) Suppose that Dean's objective with the donation to the museum was to fi- nance expansion of the historical collection. Hence, Dean was not surprised when the museum announced the sale of the portrait because of its limited historical value. What is Dean's charitable contribution deduction for the paintings in this situation (ignoring AGI limitations)?