b'Donating Art: Ensuring Related UseCAF America receives many requests from donors wishing to donate art to benefit charitable causes around the world. Whether we are granting the piece or collection to a beneficiary charity or we are liquidating the item and granting the proceeds, there are a number of considerations that all donorsand their advised beneficiariesmust take into account when considering art as a charitable donation.Form 8283: Related vs. Unrelated UseDonors may only deduct the Fair Market Value (the value determined by a Qualified Appraisal) of their donated art if the donation is used to further the mission of the charity to which they are givenif they are deemed to be furthering a related use. Deductions on gifts made for unrelated uses are restricted to the cost basis of the art in question; in other words, what the donor paid to acquire it.Art LoansIt is CAF Americas position that granting pieces of art within the three-year period during which donees must ensure related use, even if they are being granted to a reputable and established Gallery or Museum, does not fulfill the related use provision. In order to best serve our donors who advise us to put their donation of art to a related use (and therefore qualify the gift for a FMV deduction), CAF America will loan the donated piece(s) to the beneficiary for this full three-year period, after which we will be able to fully transfer ownership of the property to the grantee.Donations for Unrelated UseIf a donor wishes to contribute art and is willing to accept a cost-basis deduction, CAF America will check yes in Part IV of Form 8283 when asked if the donation will be put to an unrelated use. This means that the donor may advise the art as an immediate grant, or advise that the art is sold and the proceeds are used for future grantmaking.PAGE8|Donating Complex Assets'