IRS Publication 561 (Rev Nov 96)
1. A description of the property of the property in sufficient detail for a person who is not generally familiar with the type of property to determine that the property appraised is the property that was (or will be) contributed.
2. The physical condition of any tangible property.
3. The date or expected date of contribution.
4. The terms of any agreement or understanding entered into (or expected to be entered into) by or on behalf of the donor that relates to the use, sale, or other disposition of the donated property.
5. The name, address, and taxpayers identification number of the qualified appraiser and, if the appraiser is a partner, an employee, or an independent contractor engaged by by a person other than the donor, the name, address, and taxpayer identification number of the partnership or the person who employs or engages the appraiser.
6. The qualifications of the qualified appraiser who signs the appraisal, including the appraiser’s background, experience, education, and any membership in professional appraisal associations.
7. A statement that the appraisal was prepared for income tax purposes.
8. The date (or dates) on which the property was valued.
9. The appraisal FMV on the date (or expected date) of contribution.
10. The method of valuation used to determine FMV, such as the income approach, the comparable sales, or market data approach, or the replacement cost less depreciation.
11. The specific basis for the valuation, such as any specific comparable sales transactions
Appraisal of art objects
1. A complete description of the object, indicating the:
b. Subject matter
d. Name of the artist or culture
e. Approximate date created
2. The cost, date, and manner of acquisition
3. A history of the item, including proof of authenticity
4. A photograph of a size and quality fully showing the object, preferably a 10 x 12 inch print
5. The facts on which the appraisal was based such as:
a. Sales or analyses of similar works by the artist, particularly on or around the valuation date.
b. Quoted prices in dealer’s catalogs of the artists works or works of other artists of comparable stature
c. A record of any exhibitions at which the specific art object had been displayed.
d. The economic state of the art market at the time of valuation, particularly with respect to the specific property.
e. The standing of the artist in his profession and in the particular school or time period.
A qualified appraisal is an appraisal document that:
1. Relates to an appraisal made not earlier than sixty days prior to the date contribution of the appraised property.
2. Does not involve a prohibited appraisal fee.
3. Includes certain information (covered later), and
Is prepared signed, and dated by a qualified appraiser