This module covers basic information your registered charity should know about Certified Cultural Property. The module answers the questions: What is Certified Cultural Property? Who can receive certified cultural proerty? How do you determine FMV for Certified Cultural Property? Who determines the FMV of Certified Cultural Property?
This module covers basic information your registered charity should know about Certified Cultural Property.
The module answers the questions:
- What is Certified Cultural Property?
- Who can receive it?
- How do you determine FMV for Certified Cultural Property?
- Who determines the FMV of Certified Cultural Property?
Certified Cultural Property – The Basics
Certified Cultural Property is property that has been determined and certified by the Canadian Cultural Property Export Review Board to be of “outstanding significance and national importance” to Canada.
Special incentives have been created to encourage Canadians to keep Certified Cultural Property in Canada.
Certified Cultural Property can include, among other examples:
- archival material
- decorative arts
- musical instruments
- military objects
- technological objects
Gifts of Certified Cultural Property can only be received by designated cultural institutions and public authorities such as municipal governments or Aboriginal band councils.
To be designated, institutions and public authorities must meet a range of criteria that demonstrate their ability to preserve the objects in question, and make them accessible to the public.
More information is available at www.canada.ca/en/canadian-heritage/services/certification-cultural-property.html
FMV and Certified Cultural Property
To issue tax receipts for gifts of Certified Cultural Property (gifts-in kind), the charity has to determine the fair market value (FMV) of the gift. The FMV is the price that you, as a consumer, would have to pay for the property in the open market.
In most cases, the value of the gift-in-kind is the fair market value on the date the property (gift) is transferred to the charity. But there are exceptions.
The FMV of Certified Cultural Property is determined by the Canadian Cultural Property Export Review Board as of the date the donor legally transferred ownership.
You will find more information at www.canada.ca/en/canadian-heritage/services/certification-cultural-property.html
Note: Gifts of Certified Cultural Property is a complex topic. Charities receiving this kind of gift will benefit from professional help in sorting out the issues.
Information in this module is provided for general educational purposes and not as legal or accounting advice. Consult a lawyer or accountant for professional advice.
Information is accurate as of 2019.