Date of Death Appraisal for IRS Form 706 in Atlanta, GA (Avoid Rejection in 2026)
Date of Death Appraisal for IRS Reporting (Atlanta, GA)
If you’re filing an estate tax return, reporting inherited property, or calculating a step-up in basis, the IRS does not accept estimates, opinions, or informal valuations.
They require defensible fair market value—supported, documented, and compliant.
A date of death appraisal determines the value of real estate as of the exact date the property owner passed away, which is the standard required for IRS reporting under IRS Form 706 and related filings.
If this value is wrong, unsupported, or rejected, it can trigger:
IRS scrutiny or audit
Adjustments to estate tax liability
Incorrect cost basis for heirs
Unnecessary capital gains taxes later
This is not just a valuation—it is a tax position that must hold under review.
When You Need a Date of Death Appraisal
You typically need a retrospective valuation when:
Filing a federal estate tax return (Form 706)
Establishing step-up in basis for inherited property
Reporting gifted real estate (Form 709)
Completing probate or estate inventory
Distributing assets among heirs
Selling inherited real estate
The IRS requires that property be reported at fair market value as of the date of death (or an alternate valuation date if elected).
That means:
The valuation must reflect the market at that exact point in time—not today.
What’s at Risk If the Appraisal Is Done Incorrectly
This is where most people—and many appraisers—get it wrong.
If your appraisal does not meet IRS expectations:
The IRS may reject or challenge the valuation
You may need to pay for a second appraisal
The estate may face additional taxes, penalties, or delays
Beneficiaries may inherit an incorrect tax basis
The IRS expects valuations to follow strict fair market value principles and documentation standards.
And once reported, those values must be used consistently by beneficiaries for tax purposes.
Meaning:
You don’t get a second chance to “fix” the number later without consequences.
What the IRS Actually Requires (and Reviews)
A compliant date of death appraisal is not just a number—it is a defensible report.
For IRS reporting, the appraisal must:
Be completed as of the date of death (retrospective effective date)
Use fair market value (FMV) as defined by IRS standards
Include comparable sales near the valuation date
Analyze market conditions at that time
Be prepared by a qualified appraiser with relevant experience
Follow USPAP standards and IRS guidelines
Contain a full narrative—not a restricted or limited report
If these elements are missing:
The appraisal may not hold up under IRS review.
What a Proper Date of Death Appraisal Actually Involves
Unlike a standard appraisal, this requires reconstructing the market in the past.
That includes:
Historical MLS data and archived sales
Time-adjusted comparable analysis
Market trend reconstruction
Condition and property characteristics as of that date
Supportable adjustments and valuation logic
A date of death appraisal is effectively:
A forensic reconstruction of value, not a current opinion.
Why Most Appraisals Get Rejected (or Questioned)
Based on what we see in the field, the most common issues are:
Using current market data instead of historical comps
Providing restricted-use or summary reports
Lack of IRS-specific certification language
Appraisers without estate/IRS valuation experience
Missing support for adjustments and conclusions
The result:
Delays
Revisions
Additional costs
Increased scrutiny
Our Date of Death Appraisal Process
At REI Valuations & Advisory, our process is built specifically for IRS-facing assignments:
Confirm intended use (IRS, probate, tax reporting)
Establish correct effective date (date of death or alternate date)
Collect historical market data and comparable sales
Perform retrospective market analysis
Develop a fully supported Sales Comparison approach
Prepare a USPAP-compliant narrative report
Deliver documentation suitable for IRS review
We do not produce:
Quick opinions
Desktop estimates
Restricted-use reports for IRS assignments
Because those don’t hold up where it matters.
Why R.E.I Valuations & Advisory
Focused on non-lending, high-stakes appraisal work
Experience with estate, probate, and IRS-related valuations
Reports designed for defensibility—not just delivery
Familiar with Form 706 and step-up in basis requirements
Local expertise in the Atlanta metropolitan market
Frequently Asked Questions
Do I need a date of death appraisal if I’m not filing Form 706?
In many cases, yes—especially to establish step-up in basis for future tax reporting.
Can I use a CMA or Zillow estimate?
No. These are not acceptable for IRS reporting and will not withstand scrutiny.
What is the difference between a date of death appraisal and a current appraisal?
A date of death appraisal reflects value at a past point in time using historical data—not today’s market.
How soon should I get the appraisal done?
As soon as possible. Delays make historical data reconstruction more difficult and less reliable.
Schedule Your Date of Death Appraisal (Atlanta, GA)
If you are:
Filing an estate tax return
Working with a CPA or attorney
Handling an estate or inherited property
You need a valuation that is:
Defensible
Documented
IRS-ready
We offer a complimentary 30-minute Appraisal Fit Call to determine:
If you need a date of death appraisal
The correct effective date
Scope and timeline
Availability is limited due to the complexity of these assignments.
