Information on Donated Property
You must get a written appraisal from a qualified appraiser before completing Part I. However, see Exceptions, below.
Exceptions. You do not need a written appraisal if the property is:
- Nonpublicly traded stock of $10,000 or less,
- A vehicle (including a car, boat, or airplane) if your deduction for the vehicle is limited to the gross proceeds from its sale,
- Intellectual property (as defined earlier),
- Certain securities considered to have market quotations readily available (see Regulations section 1.170A-13(c)(7)(xi)(B)),
- Inventory and other property donated by a corporation that are "qualified contributions" for the care of the ill, the needy, or infants, within the meaning of section 170(e)(3)(A), or
- Stock in trade, inventory, or property held primarily for sale to customers in the ordinary course of your trade or business.
Although a written appraisal is not required for the types of property just listed, you must provide certain information in Part I of Section B (see Line 5) and have the donee organization complete Part IV.
Art valued at $20,000 or more. If your total deduction for art is $20,000 or more, you must attach a complete copy of the signed appraisal. For individual objects valued at $20,000 or more, a photograph must be provided upon request. The photograph must be of sufficient quality and size (preferably an 8 x 10 inch color photograph or a color transparency no smaller than 4 x 5 inches) to fully show the object.
Clothing and household items not in good used con-dition. You must include with your return a qualified appraisal of any single item of clothing or any household item that is not in good used condition or better for which you deduct more than $500. The appraisal is required whether the donation is reportable in Section A or Section B. See Clothing and household items, earlier.
Easements on buildings in historic districts. If you claim a deduction for a qualified conservation contribution of an easement on the exterior of a building in a registered historic district, you must include a signed copy of a qualified appraisal, photographs, and certain other information with your return. See Easements on buildings in historic districts, under Fair Market Value (FMV), earlier.
Deduction of more than $500,000. If you claim a deduction of more than $500,000 for an item (or group of similar items) donated to one or more donees, you must attach a signed copy of a qualified appraisal of the property to your return unless an exception applies. See Exceptions, earlier.
Appraisal Requirements
The appraisal must be made by a qualified appraiser (defined later) in accordance with generally accepted appraisal standards. It also must meet the relevant requirements of Regulations section 1.170A-13(c)(3) and Notice 2006-96. Notice 2006-96, 2006-46 I.R.B. 902, is available atwww.irs.gov/irb/2006-46_IRB/ar13.html.
The appraisal must be made not earlier than 60 days before the date you contribute the property. You must receive the appraisal before the due date (including extensions) of the return on which you first claim a deduction for the property. For a deduction first claimed on an amended return, the appraisal must be received before the date the amended return was filed.
A separate qualified appraisal and a separate Form 8283 are required for each item of property except for an item that is part of a group of similar items. Only one appraisal is required for a group of similar items contributed in the same tax year, if it includes all the required information for each item. The appraiser may group similar items with a collective value appraised at $100 or less.
If you gave similar items to more than one donee for which you claimed a total deduction of more than $5,000, you must attach a separate form for each donee.
Example. You claimed a deduction of $2,000 for books given to College A, $2,500 for books given to College B, and $900 for books given to a public library. You must attach a separate Form 8283 for each donee.