Perth 6159, W.A.
(61 8) 9336 6231
(61 8) 9336 2678
Mob: 0407 385 335
David Forrest CBE and Jánis Nedéla
accredited valuers under
Commonwealth Government's Cultural Gifts Program
the Taxation Incentives for the Arts Scheme)
web site: www.dcita.gov.au
are valuers in the following categories:
Woodblock Prints and Books 1700 - 1939
Prints after 1940
Drawings, Paintings, Prints, Crafts and Sculpture after 1940
Prints after 1940
Valuations for insurance purposes can also be carried out.
David Forrest/Jánis Nedéla on 9336 6231 for more information
Advice for Donors
is the Cultural Gifts Program?
Cultural Gifts Program encourages gifts of significant cultural
items to public art galleries, museums and libraries by offering
donors a tax deduction for the market value of their gifts,
under Subdivision 30-A of the Income Tax Assessment Act 1997.
The Department of Communications and the Arts administers the
program with the advice of the Committee on Taxation Incentives
for the Arts. The Committee advises the Secretary to the Department
on the approval of valuers to participate in the program and
examines donations to ensure they conform with the program's
sure the public collecting institution of your choice is eligible
to participate in this program and that it wants to accept your
gift for its collection. You will need two valuations of the
market value of your gift at the time of donation. Ask the institution
to help you choose valuers who are approved to value items for
the program, and to help you arrange for these valuations to
be carried out. Each valuer will give you a valuation certificate
for which you may be charged a fee. Some institutions may meet
part or all of such fees - their staff will advise you about
valuation, present your donation to the institution, together
with a completed certificate of donation (available from the
institution) which describes the gift and transfers ownership
to the institution, and the originals of the valuation certificates.
The institution will forward these certificates to the Committee
for endorsement, after which they will be returned to you for
your tax records. You may then claim the average of the valuations
as a tax deduction for the financial year in which the gift
was made, unless otherwise advised by the Committee.
should I have valuations carried out?
must be done within 90 days before or after the date on which
the donation is made to reflect the current market value.
I have to use particular valuers?
should approach the institution to help you choose suitable
valuers. The institution will know which valuers are approved,
for the purposes of the program, to value your gift.
I claim a tax deduction for the cost of the valuations?
if the valuations are obtained specifically for this program
they are a tax related expense for the purposes of section
25-5 of the Act.
about capital gains tax?
you acquired the donated item on or after 20 September 1985,
Capital Gains Tax may apply. Your accountant or tax agent
can advise you about this.
the market value for my gift be tax deductible in all cases?
Not always. The Commissioner of
Taxation may vary or disallow the deductible amount when:
deduction claimed is greater than the amount needed to
reduce your taxable income to nil for the financial year
in which the gift is made.
gift is given with conditions that prevent or delay the
receiving institution having clear title, custody and
control of it or which involve a material benefit to the
item was acquired by the donor (other than inheritance)
within 12 months of the donation, or acquired specifically
for purpose of donating it. The amount of the deduction
to be claimed is then restricted to the purchase price
or the market value, whichever is the lesser amount.
donate their own work, or dealers donate items and the
donation is part of their trading stock (that is, it could
have been sold and the proceeds deemed assessable income).
In such cases the deduction would be limited to the cost
of producing or acquiring the item. If the donation is
not trading stock, the donor would need to demonstrate
to the Committee for the satisfaction of the Commissioner
of Taxation, that the item was not held for commercial
Advice for Institution
with your local branch of the Australian Taxation Office that
your institution is eligible to receive gifts in accordance
with subsection 30-15(1), Item 4 of the Act. Then send a copy
of that advice and your institution's collection policy to the
Committee. You will need to refer to the Guide to the Cultural
Gifts Program which sets out your responsibilities and the procedures
for accepting a gift. You should contact the Department of Communications
and the Arts (see over for address) about supplies of these.
Points to Remember
you accept a proposed gift, ensure that it fits within your
acquisition policy and that it is a desirable acquisition for
your collection. Institutions have the right to reject a proposed
gift if it is not considered appropriate for the collection.
Discuss the gift with the owner to ensure there are no conditions
attached to the gift and that the owner has clear title to the
item(s). Also check whether copyright is included with the gift.
You should help the donor select appropriate valuers. Check
that valuations reflect current market value and are well substantiated,
as this will help the Committee assess valuations and avoid
delays in endorsing gifts. Also check that valuation certificates
are dated within a period of 90 days before or after the date
of the gift.
that the donor completes a certificate of donation, describing
the gift and transferring ownership, and that you complete a
donation summary sheet.
not check out the cultural gifts web site