Recommended By: Larry Pullen
With the enactment of Sec. 6695A, the IRS was given new responsibilities to ensure the quality of appraisals & appraisers who provided information in support of a taxpayer’s federal tax filings. Here are the key items that Larry felt were important:
- IRS provides oversight of CPAs who provide valuation services
- Sec. 6695A imposes penalties on appraisals that lead to substantial and gross valuation misstatements on returns
- Appraisal penalties can be substantial and action may be taken against an appraiser and the appraiser’s firm for violating professional appraisal standards
- Under Sec. 6695A review process, estate and gift tax attorneys and IRS engineer specialists perform an initial national classification process on all estate and gift valuations
- After the returns and valuations have been reviewed, a Sec. 6695A penalty may be imposed by the IRS
Here is a link to the entire article:
Ellin & Tucker’s FVS Group has been & will continue to be conscious of these standards during our engagements. The importance of selected a qualified and well-respected valuation service provider can never be underestimated.
As a Principal in Ellin & Tucker’s Forensic and Valuation Services Group with more than 15 years of experience in public accounting, Lawrence M. Pullen, CPA/ABV/CFF, CVA, is well versed and dedicated to providing services in all types of business valuation, commercial damages and forensic accounting matters. He has valued numerous ownership interests in family limited partnerships and limited liability companies owning real estate or various other investments. These valuations were completed for many different purposes, including the purchase or sale of a business interest, bankruptcy buy-sell agreements, estate and gift tax planning/reporting, corporate restructuring, divorce litigation, shareholder disputes, and other matters.