More about IRS rules for donating works of art:
1. All individual works of art or like items valued at $5,000 and above must be appraised. Works of art valued at $20,000 and above must have a copy of the appraisal report attached to the tax return.
2. The work of art must be owned for a minimum of one year to receive a deduction of the Fair Market Value. Otherwise the deduction is at cost basis.
3. The donation must be related to the purpose of the institution receiving it in order to get a deduction of the Fair Market Value otherwise it is at cost basis. You cannot donate a Warhol print to an educational institution and receive a deduction based on its Fair Market Value. If you donate it to an art museum then you can.
4. Fractional giving is when you donate a percentage of an artwork to an institution over a period of time. The value of the contribution is based on the initial date of contribution regardless of whether the value goes up in subsequent years. If the artwork declines in value, however, then your deduction is based on its reduced value.