• Has been entitled to the appraisal designation from an organization which has been recognized as a professional appraiser or has the minimum educational and experience requirements as required by the Treasury
• Can perform appraisals for the specific appraisal he/ she has been designated for
• Has not been banned from practicing by Internal Revenue Services (IRS) at least three years prior to the current appraisal
A qualified appraiser appraises charitable contributions, properties, stocks etc based on his/ her designation. The IRS is responsible for all such appraisals and hence observes strict rules regarding the Qualified Appraisers.
All gifts of non- cash property worth more than $5, 000 must be appraised before tax deductions.
The appraisal must be made not more than 60 days prior to the contribution or property purchase and not after the tax return has been filed. The qualified appraiser certifies the donor or owner with a appraisal document which contains the following information:
• Description of the condition of the property and the property itself
• Date of Purchase or Donation
• Terms of purchase along with restrictions, if any
• Whether the appraiser is Qualified or not; his identity
• Date of the document preparation
• Basis of valuation, the method involved and the fair value of the property or stock