Donation Machinery and Equipment Appraisals

Machinery and equipment appraisals are often required in donation situations in order to have peace of mind that your gift will count as a legitimate tax deduction. Excluding gifts of cash and investments, a certified equipment appraisal report must be furnished for the assets involved in all donations that have significant value, and are tangible in nature. In order for a donor or beneficiary to obtain such a report, the services of a certified machinery and equipment appraiser must be solicited.

For example, a gift of medical equipment, such as a wheelchair to an individual beneficiary or entity, would qualify the donor to receive a deduction from taxable income for the donation year. Oftentimes equipment will hold substantial value, creating the need for a certified equipment appraisal report. Please refer to the section of this website discussing IRS form 8283, and its implications, for further information regarding donations and gifts of non-cash property.

In addition, other donation examples of non-cash property gifts include scenarios involving charitable contributions. According to the U.S. Tax code and IRS regulations, any donation involving a gift of non-cash property valued in excess of $5,000 must include a certified equipment appraisal report. An example would be the donation of exercise equipment to a religious organization valued at $10,000. This would require the beneficiary of the donation to file IRS form 8283 along with other tax documents for the year the gift was received, and along with it a certified equipment appraisal report.  

Whether a donor or beneficiary, Equipment Appraisal Services has the necessary experience and credentials to assemble a certified equipment appraisal report. Please contact us today for more information regarding donations, and the role of a qualified appraiser in such situations.