IRS: Beware of improper art donation deduction promotions

The IRS warns taxpayers to watch for promotions involving exaggerated art donation deductions that can target high-income filers, and offers special tips to avoid getting caught them.

As part of a larger effort to increase compliance work on high-income individuals and corporations, and protect taxpayers from scams, the IRS has active promoter investigations and taxpayer audits underway in this area.

Find details about these schemes, including:

• How the scheme works
• How to properly claim the deduction, including IRS art appraisal services
• What red flags to watch for
• What the IRS is doing about it