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Business Valuation Appraisal Guides & Insights
Expert guidance on business valuation valuation — what drives value, when you need a USPAP-compliant appraisal, and how the process works.
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When Does a QOF Need a Valuation for a Property Contribution?
Contributing a building or business interest to a Qualified Opportunity Fund instead of cash caps gain deferral at the lesser of basis or fair market value, which means the fund needs a defensible valuation before the deal closes. This guide walks through the IRS rules that trigger a QOF property contribution valuation and the related-party threshold that raises the stakes.
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Rev. Rul. 59-60 and Why it Still Governs QOF Interest Valuation Today
Revenue Ruling 59-60 set the IRS framework for fair market value in 1959, and it still controls how appraisers value Qualified Opportunity Fund interests today. This guide walks through the eight-factor test, the discounts it implies, and how they shape the stepped-up basis under a 10-year QOF election.
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How to Value a QOF Interest That Has Dropped Below Your Deferred Gain
If your qualified opportunity fund interest is now worth less than the gain you deferred, the December 31, 2026 mandatory inclusion may let you recognize far less than that original amount. This guide walks through the lesser-of rule, the appraisal factors that can push the value down, and a worked example showing the math.
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QOF Lesser-of Rule: Why Your 2026 Gain Inclusion Needs a Real Appraisal
The QOF lesser-of rule caps your December 31, 2026 gain inclusion at the fair market value of your fund interest minus basis, not the deferred gain itself. This guide explains how that rule works and why it requires a defensible appraisal of an illiquid LP interest, not a guess at NAV.
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IRS Form 8997: How to Report Your Qualified Opportunity Fund Investment Each Year
Every taxpayer holding a Qualified Opportunity Fund investment must file IRS Form 8997 with their federal return each year, and the OBBBA's 2027 rule changes make accurate reporting more consequential than ever. This guide walks through the form's four parts, the basis step-up rules under the old and new regimes, and where a defensible fair market value substantiates what you report.
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IRS Form 8997: What Qualified Opportunity Fund Investors Must Report Every Year
IRS Form 8997 is the annual statement every Qualified Opportunity Fund investor must file to report deferred gains, dispositions, and year-end holdings. This guide breaks down all four parts of the form and explains why an independent valuation protects the basis and gain figures behind it.
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What Is a Qualified Opportunity Zone Fund and How Does It Work?
A qualified opportunity zone fund is a corporation or partnership that self-certifies with the IRS to hold at least 90% of its assets in opportunity zone property, unlocking capital gains deferral in exchange for a strict compliance regime. This guide breaks down the statutory requirements, the 90% asset test, and why the deferred gain inclusion event eventually requires a defensible fair market value appraisal.
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What Is IRS Form 8996? A Guide to QOF Self-Certification and the 90% Asset Test
IRS Form 8996 is how a Qualified Opportunity Fund self-certifies its status and reports the 90% asset test each year, but it says nothing about what an investor's QOF interest is actually worth. This guide breaks down the form's mechanics and explains why investors still need a separate valuation before the December 31, 2026 inclusion event.
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Valuing a QOF Minority Interest: Applying Discounts for Lack of Control and Marketability
Valuing a Qualified Opportunity Fund interest for tax purposes often requires a discount for lack of control and a separate discount for lack of marketability, and these adjustments are entirely distinct from the entity-level math used for the 90% asset test. This guide shows fund sponsors, CPAs, and investors how DLOC and DLOM apply, in what order, and with what support.
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