Tax gifting real estate can be done in numerous forms: direct donation, bargain sale, or conservation. Ensuring compliance is key to the success of your prospective donation. To qualify for the benefit of tax gift or tax credits, the IRS may require some specific language within the body of the appraisal report. A specific scope of work is required for this type of valuation. Specific language may also be required in the sales contract should a contract be required for a bargain sale. Section 6695A of the Internal and United States Code 31 USC 330 (C) regulate the prescribed manner of real estate tax gifts bargain sale, donation, or otherwise.

 

As part of the regulations the appraiser(s) must certify, as per form 8283, the value of the gift upon completion of the appraisal to be submitted with the return in some cases. As experienced general real estate appraisers, we ensure that we can appropriately navigate the gift process with your CPA, attorney, or estate attorney, and trustee to ensure the appropriate scope of work for your appraisal report as well as proper and compliant valuation of your gift.

 

The appraisal process begins by working hand in hand with your CPA, attorney, Trustee, which is key to the process of an appropriate and successful valuation. We have many years of experience in large and small donations of all types of real estate with all sorts of ownership interests from individuals, corporations, private and public trusts, and REITS. We have the requisite knowledge, experience, resources, and ability to properly scope your unique donation and value any type real estate asset that will become the physical donation.