LAUNCHPROJECTS APPRAISALS
Why Appraise?
An appraisal of personal property and fine arts is required if the art is:
1. Transferred during life to a charitable donee
2. Subject to gift tax
3. Transferred to a non-charitable donee;
4. Subject to estate tax
5. Included in a net worth assessment;
6. Involved in a divorce action
7. Sold by an executor or appointed agent
8. Insured.
Appraisals are obtained to determine fair market value. This is defined as "the price at which such property changes hands between a willing buyer and a willing seller, neither being under any compulsion to buy or to sell and both having a reasonable knowledge of all relevant facts."
Choosing an appraiser is a critical consideration. Rev. Proc. 66-49 in the IRS Valuation Guidelines refers to an appraisal by a "qualified person" and requires that the appraiser include a summary of his or her qualifications as an addendum to any document prepared.
Art appraisals prepared by Launchprojects are generated based on IRS Valuation Guidelines by qualified appraisers.
For more information:
IRS guidelines
What is in an Appraisal?
1. A Complete Description of the Property
2. Provenance. This refers to the source of the item
3. Cost Basis, Date, and Manner of Acquisition
4. Photographs of the Property
5. A Statement of Comparable
6. State of the Market for the Appraised Property
Appraisal Fees
Each project is based on the information provided and can be assessed upon request. The fee for art appraisal is based on the cost and research time to complete the report and the final appraisal will vary according to the complexity of the project.
Hourly rates begin at $150/hourly or $1500 daily. We will also provide estimates for collections or larger projects.
Consultation fees for high level works of art:
up to 1 million $ : 5 %
from 1million up to 10 million $ : 3 1/2 %
Above : 3 %