II. Artists’ Contribution to American Heritage Act of 2005 (H.R. 1120) — This bipartisan bill, which I introduced with Representative Ramstad, enjoys the support of 43 cosponsors and was included into the Senate version of the CARE Act. H.R. 1120, would allow artists to deduct the “fair market value” for charitable contributions of any literary, musical, artistic or scholarly composition. To qualify for the deduction, the donated work would have had to be created within 18 months prior to the donation, and the artist, writer or composer would have to be a professional whose work had been sold, performed or exhibited. The measure also would require the artist to obtain a written appraisal of the fair market value of the work by a qualified appraiser, and to deduct the entire amount the year the gift is made. If an artist gives his/her work to a museum/nonprofit organization, the artist should receive the same tax treatment as a collector who buys an artistic work and donates it to the same museum/nonprofit. Right now, the artist may only receive a tax deduction for the cost of the goods used to make the art — e.g., the paint and canvas versus the value of the art created if sold on the open market. The collector currently receives a tax deduction for the fair market value of the work. This bill encourages art to be shared with the public — artists will be more likely to donate their art if they do not have a large financial incentive to sell it to a private collector. There is a federal interest in maintaining public access to American art. This measure would restore the artistic donation deduction that was allowed prior to 1969. Since the change in the law denying the deduction, many works of art that would have been contributed to American institutions have been sold to private collections or abroad. We want to ensure that American works of art remain in our country for the benefit of everyone. It’s only fair that American artists, composers, and writers get a fair-market deduction for their work.