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Any charitable giving of over a low threshold would be audited for value to prevent this type of grift. You'd likely end up in serious tax trouble. For example

Any charitable giving of over a low threshold would be audited for value to prevent this type of grift. You'd likely end up in serious tax trouble. For example: "Donating non-cash items to a charity will raise an audit flag if the value exceeds the $500 threshold for Form 8283, which the IRS always puts under close scrutiny. If you fail to value the donated item correctly, the IRS may deny your entire deduction, even if you underestimate the value." https://budgeting.thenest.com/much-should-donate-charity-tax-purposes-triggering-audit-33706.html https://budgeting.thenest.com/much-should-donate-charity-tax...

coliveira 6y ago
Yes if you're poor, that would stick out on your tax returns. If you're rich and other parts of the tax returns are even more complex, I think this would fly without any problem.
- Matticus_Rex 6y ago
  From rich friends' experience, that's not how it works. The bigger the fish, the more resources get thrown at it. A friend got audited and they came up with the most absurdly tiny mistakes in really complex things. It turned out they couldn't find anything they thought was more than a mistake, but their thoroughness was pretty incredible.
  - coliveira 6y ago
    The difference is that the rich have the lawyers to deal with that. You shouldn't worry about them. An audit for a rich person is just another annoyance that they pay to go away, it is not gonna change their behavior.
  - lozaning 6y ago
    On average, the more money you have and the more complex your taxes the less likely you are to be audited. https://projects.propublica.org/graphics/eitc-audit https://projects.propublica.org/graphics/eitc-audit
    - deleted 6y ago
      [deleted]
ThrustVectoring 6y ago
This is why you hire someone to appraise the value of the item and document the third-party appraisal. If someone else says your painting was worth $20m on the day you donated it, and they're wrong in the view of the IRS, well, it's an honest mistake on your part and at worst you just have to pay some money for getting caught.
gnopgnip 6y ago
That is why you hire a tax pro, and have an appraiser so the donated item is valued correctly.
- ChrisLomont 6y ago
  Once it's valued correctly by a proper appraiser you will not get the tax scam to work. They are not as dumb as this chain of posts assumes. Neither is the IRS.

coliveira 6y ago

Yes if you're poor, that would stick out on your tax returns. If you're rich and other parts of the tax returns are even more complex, I think this would fly without any problem.

Matticus_Rex 6y ago
From rich friends' experience, that's not how it works. The bigger the fish, the more resources get thrown at it. A friend got audited and they came up with the most absurdly tiny mistakes in really complex things. It turned out they couldn't find anything they thought was more than a mistake, but their thoroughness was pretty incredible.
- coliveira 6y ago
  The difference is that the rich have the lawyers to deal with that. You shouldn't worry about them. An audit for a rich person is just another annoyance that they pay to go away, it is not gonna change their behavior.
- lozaning 6y ago
  On average, the more money you have and the more complex your taxes the less likely you are to be audited. https://projects.propublica.org/graphics/eitc-audit https://projects.propublica.org/graphics/eitc-audit
  - deleted 6y ago
    [deleted]

ThrustVectoring 6y ago

This is why you hire someone to appraise the value of the item and document the third-party appraisal. If someone else says your painting was worth $20m on the day you donated it, and they're wrong in the view of the IRS, well, it's an honest mistake on your part and at worst you just have to pay some money for getting caught.

gnopgnip 6y ago

That is why you hire a tax pro, and have an appraiser so the donated item is valued correctly.

ChrisLomont 6y ago
Once it's valued correctly by a proper appraiser you will not get the tax scam to work. They are not as dumb as this chain of posts assumes. Neither is the IRS.