Corporate philanthropy: special cases
Private historical monuments
Donations to the Heritage Foundation or any other recognized foundation or association of approved public utility, intended for conservation work, the restoration and public accessibility of private historic monuments are eligible for the tax treatment of corporate patronage under various conditions, in particular that the monument benefiting from them is preserved by its owner and open to the public for at least ten years.
An agreement must be entered into between the owner and the Heritage Foundation or the approved donor organization.
Acquisition of contemporary art and musical instruments
Corporations that acquire original works of living artists and record them in a special reserve account may deduct from the taxable income of the acquisition and subsequent four years, in equal fractions, an amount equal to the purchase price within the limit of 0,5 % of turnover. Original works are also excluded from the basis of assessment of the business tax.
Throughout the period of deduction, the works thus acquired must be exhibited in a place open to the public or simply to the employees and/or customers of the company, excluding offices.
The same applies to the acquisition of musical instruments intended to be lent free of charge to professional performers, students of the Paris and Lyon National Conservatories and students in IIIe other conservatories and music schools.
Performing arts and contemporary art exhibitions
Public or private bodies whose management is disinterested and whose main activity is the presentation to the public of dramatic, lyrical, musical, choreographic, cinematographic and circus works, or the organization of contemporary art exhibitions, may benefit, even if they are subject to VAT and other commercial taxes, from the tax system of corporate patronage, provided that the payments made are allocated to that activity.
National treasures and works of major heritage interest
Financing by a company for the acquisition of a cultural property recognized as a "national treasure" or "work of major heritage interest" for the benefit of a public collection entitles it to a tax reduction equal to 90% of the payment amount, within the limits of 50 % of tax due.
If the business acquires a “national treasury” for its own account, the tax benefit is 40% of the acquisition amount, but this benefit is subject to three conditions:
- the property cannot be transferred for a period of ten years;
- during this period, the property must be deposited with a museum in France;
- the company undertakes to consent to the classification of the property in its application to the administrative authorities.