Maryland Maryland Subtraction for Contribution of Artwork

Maryland Subtraction for Contribution of Artwork
2023 502AC Subtractions for Contribution for Artwork
MARYLAND
FORM

Print Using Blue or Black Ink Only

502AC

2023

SUBTRACTION FOR
CONTRIBUTION OF
ARTWORK
Attach to your tax return.

First name	

MI	

Last name	

Social Security Number

Spouse’s first name	

MI

Last name	

Social Security Number

Street address

City or Town	

Check Return Filed:	

State	

502 Resident	

ZIP code + 4

505 Nonresident

PART A ­– Qualification of Taxpayer
Current Year
1. Federal adjusted gross income plus Maryland additions.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
2. Enter 50% of line 1 .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
3. Gross income from the sale of artwork produced by the taxpayer .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
Prior Year
4. Federal adjusted gross income plus Maryland additions.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
5. Enter 50% of line 4 .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
6. Gross income from the sale of artwork produced by the taxpayer .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
If line 2 exceeds line 3 and line 5 exceeds line 6, you do not qualify for this subtraction.
PART B –
­ Certification of Museum

 .
 .
 .

1.
2.
3.

00
00
00

 .
 .
 .

4.
5.
6.

00
00
00

Name of museum

Number and street

City	

State	

ZIP code + 4

7. Is the museum located in the state of Maryland? .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
Yes	
No
Yes	
No
8. Is the museum open to the general public? .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
9. Has the museum accepted the donated artwork? If yes, attach a certificate of acceptance
from the museum..  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 	
Yes	
No
If the answer to any of these questions is no, you do not qualify for this subtraction.
PART C –
­ Amount of Subtraction
If you have completed Parts A and B above and are eligible to claim this subtraction, compute the amount of your
subtraction below.
00
10.	Enter the fair market value of the artwork. (Attach certified appraisal.).  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 10.
11.	Enter any portion of the fair market value of the artwork contained in your federal or state
00
itemized deductions. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 11.
00
12.	Subtract line 11 from line 10 .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 12.
00
13.	Enter the amount from line 2 above .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 13.
00
14.	Enter the lesser of line 12 or line 13.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 14.
Your Maryland-only subtraction for the contribution of artwork is the amount on line 14. Include this amount on
line m of Form 502SU or line m of Form 505SU.

COM/RAD-010

MARYLAND
FORM

502AC

2023

SUBTRACTION FOR
CONTRIBUTION OF
ARTWORK INSTRUCTIONS
Attach to your tax return .

GENERAL INSTRUCTIONS
Who May File
A subtraction for a contribution of artwork may be made by
qualifying persons who have donated their own artwork(s) to
a Maryland museum .
Qualifying Guidelines
You qualify for this subtraction if:
• 50% or more of your income (for this year or last year)
comes from the sale of your own artwork, and,

PART B
Enter the name and address of the museum which has
received your artwork and answer questions 7, 8 and 9 . If the
answer to any of these questions is no, you may not claim this
subtraction .
PART C
Line 10

Enter the fair market value of the artwork from
the appraisal .

Line 11

You must reduce the value of the artwork by any
amounts which are deductible from federal
adjusted gross income . If your federal or state
itemized deductions contain any amounts which
are attributable to the donated artwork, enter
those amounts on this line .

Line 12

Subtract line 11 from line 10 and enter the result
here .

Line 13

The subtraction may not exceed 50% of your
gross income in the calendar year of the donation .
You have computed this maximum in Part A, line
2 . Enter that amount on this line .

Line 14

Enter the lesser of line 12 or line 13 here . This is
your subtraction for the contribution of artwork .
Include this amount on line m of Form 502SU or
line m of Form 505SU .

• A museum located in Maryland that is open to the general
public accepts your artwork .
Required Attachments
You must attach to your Maryland return a completed Form
502AC, verification by an independent appraiser of the fair
market value of the artwork and written acceptance from the
museum .
Taxpayers Filing Joint Maryland Returns
This subtraction only can be used to reduce the taxable income
of the qualifying taxpayer . If the federal adjusted gross
income, plus Maryland additions, includes any income received
by the spouse of the contributing artist, the spouse’s income
must be subtracted from the figures entered on line 1 and line
4 of Form 502AC . Attach a schedule showing the modification .
SPECIFIC INSTRUCTIONS
PART A
Line 1

Enter your current year federal adjusted gross
income plus Maryland additions or as modified
when a joint Maryland return has been filed .

Line 2

Multiply line 1 by 50% ( .50) and enter the result .

Line 3

Enter your current year gross income from the
sale of your own artwork .
Note: If line 2 is less than line 3, go to Part B . If
not, complete lines 4 through 6 .

Line 4

Enter your federal adjusted gross income plus
Maryland additions in the immediately prior tax
year or as modified when a joint Maryland return
has been filed .

Line 5

Multiply line 4 by 50% ( .50) and enter the result
here .

Line 6

Enter your gross income in the prior year from the
sale of your own artwork .
Note: If line 5 is greater than line 6 and line 2 is
greater than line 3, you do not qualify for this
subtraction .

COM/RAD-010

For more information, visit marylandtaxes.gov or email your
question to TAXHELP@marylandtaxes .gov . You may also call
1-800-638-2937 or from Central Maryland 410-260-7980 .