What a USPAP-Compliant Appraisal Report Includes for Chicago Estates and Charitable Donations

A USPAP-compliant appraisal report for a Chicago estate or charitable donation names its client and intended use, describes each item in enough detail to identify it, states a type of value and an effective date, shows the market evidence behind each conclusion, and ends with a signed certification. Executors and donors in Cook County often receive a one-page value list and assume it is enough. It usually is not, and a thin report is the first thing a CPA, probate attorney, or IRS reviewer questions.

This guide breaks down what a defensible report contains, how to tell a full report from a restricted one, and what changes when the purpose is a tax deduction or an estate filing. If your goal is a charitable donation appraisal or an estate tax appraisal, the same core structure applies. Donors weighing which part of the IRS form applies can also read our Form 8283 Section A vs Section B guide.

What Are the Core Components of a USPAP-Compliant Appraisal Report?

A USPAP-compliant personal property report contains 9 core components: client and intended use, item descriptions, scope of work, type of value, effective date, market evidence, assumptions and limiting conditions, appraiser qualifications, and a signed certification. USPAP is the Uniform Standards of Professional Appraisal Practice, published by The Appraisal Foundation. It governs how an appraiser develops and reports a value opinion.

A report prepared in accordance with USPAP should include each of the following:

Client, intended use, and intended users: The report names who ordered it, what it will be used for (an estate filing, a Form 8283 deduction, a probate inventory), and who may rely on it. A report built for a tax deduction should not be repurposed for an insurance claim, because the value definition may differ.
Item descriptions and photographs: Each item or lot is identified by maker, title or model, materials, dimensions, date, markings, and condition. Photographs tie the written description to the actual object.
Scope of work: This explains what the appraiser did to reach the value: how the property was inspected (in person, or through photos and documentation reviewed online), what research was run, and what was not done.
Type of value: For estates and donations this is almost always fair market value. Insurance work uses replacement cost, which is a different number.
Effective date: The date the value applies to. More on this below.
Comparable sales and market research: The report cites actual sales of similar items, explains adjustments, and identifies the market where the property would ordinarily trade.
Assumptions and limiting conditions: These disclose what the appraiser took as given, such as authenticity as represented or clear title, and any extraordinary assumptions.
Appraiser credentials and qualifications: The report states the appraiser's education, experience, and professional affiliations. Our appraisers hold credentials with leading organizations such as the ISA, ASA, and AAA, though the credentials relevant to your property depend on its category.
Certification statement and signature: The appraiser certifies impartiality, no undisclosed interest, and compliance with USPAP, then signs and dates the report.

Behind the report sits a workfile: the research, notes, photos, and sales data that support every conclusion. You may not see it, but USPAP requires the appraiser to keep it, and it is what lets the appraiser defend the numbers if the report is ever questioned.

Key takeaway: If a report lacks a stated intended use, an effective date, or a signed certification, it is missing parts that cannot be added back with a phone call.

Appraisal Report vs Restricted Appraisal Report Under USPAP Standard 8

USPAP Standard 8 covers reporting for personal property and recognizes 2 report forms: the Appraisal Report and the Restricted Appraisal Report. The difference is how much of the reasoning is written down and who may rely on it.

An Appraisal Report summarizes the data, analysis, and reasoning in enough detail that the intended users can follow how the value was reached. A Restricted Appraisal Report states conclusions with minimal supporting explanation and is limited to the client as the only intended user. The appraiser's workfile holds the support, but the reader of the report cannot see it.

For most Chicago estate and donation work, the Appraisal Report is the practical choice. Executors typically share the report with an attorney, a CPA, a probate court file, and sometimes a charity or the IRS. A restricted format works against that, since only the client may rely on it.

Watch out: A report labeled "restricted" is not a defect, but it is a poor fit when more than 1 party needs to depend on it.

Effective Date vs Report Date: Why the Difference Matters

The effective date is the date the value applies to. The report date is the date the appraiser signs and issues the document. They are often different, and confusing them is one of the most common errors in tax-related appraisals.

The right effective date depends on the purpose:

Estate valuation: Generally the date of death, unless the executor makes a valid alternate valuation election.
Charitable donation: The date of contribution, or a date within the permitted window before it (covered below).
Insurance: Usually the current date of the report.

Example: A donor gives a collection of antique silver on October 10. The appraiser inspects it on October 20 and signs the report on November 1. The effective date should be the contribution date, October 10, while the report date is November 1.

Checklist: What to Request From Your Appraiser

Before you accept a report, check it against the list below. The table shows each component, what it should contain, and what it means for you if it is missing.

Component	What to look for	Why it matters
Client and intended use	Your name, the stated purpose, named intended users	Confirms the report fits an estate filing or deduction
Item descriptions	Maker, materials, dimensions, date, markings, condition	Lets a reviewer identify each item without guessing
Photographs	Clear images tied to each description	Links the written record to the actual property
Scope of work	How the property was inspected and researched	Shows the level of effort behind the value
Type of value	Fair market value for estates and donations	A wrong value type makes the number unusable
Effective date	A specific date matching the purpose	Controls which market conditions apply
Comparable sales	Cited sales of similar items, with adjustments	Supports the value with evidence, not opinion
Assumptions and limiting conditions	Disclosed in plain language	Shows what the value depends on
Appraiser qualifications	Education, experience, affiliations	Establishes who is giving the opinion and why
Certification and signature	Signed and dated certification of USPAP compliance	Marks the report as a professional, accountable document

Our engagements are quoted as a fixed fee before work begins, never billed hourly. The fee reflects scope: the number and complexity of items, the quality of your records, and whether the report must meet IRS qualified appraisal requirements.

IRS Qualified Appraisal Requirements for Chicago Donations

For a noncash charitable gift where the claimed deduction exceeds $5,000 for an item or group of similar items, the donor generally needs a qualified appraisal and must complete Section B of Form 8283. The IRS Instructions for Form 8283 explain when each section applies. Form 8283 is a summary of the appraisal, not a substitute for it.

The qualified appraisal rules sit in Treasury Regulation 1.170A-17, and the related reporting rules for the form appear in Treasury Regulation 1.170A-16. A qualified appraisal is prepared, signed, and dated by a qualified appraiser and follows the substance and principles of USPAP. IRS guidance on substantiating noncash contributions lists what the report must contain:

A detailed description of the property: Enough to identify it, with its physical condition.
The date or expected date of contribution: And the effective date of the valuation.
The appraised fair market value: On the effective date, with the method and specific basis for the valuation.
Appraiser identification and qualifications: Including a declaration describing the appraiser's background, experience, education, and professional affiliations.
A signature and date: From the appraiser.

Timing has 2 parts. The report must be signed and dated no earlier than 60 days before the contribution and no later than the due date of the return, including extensions, on which the deduction is first claimed. The valuation effective date must fall no earlier than 60 days before the contribution and no later than the contribution date; if the report is dated after the gift, the effective date is the contribution date.

Example: A Chicago donor gives artwork to a museum on June 1. A report signed on April 15 is too early, since it falls more than 60 days before the contribution. A report signed on July 10 works, as long as it uses June 1 as the effective date and is in hand before the return is due.

The charity's signature on Form 8283 only acknowledges receipt of the property. It does not set the value, and the charity cannot act as the qualified appraiser. Our reports for donors are prepared in accordance with USPAP and IRS requirements, and the IRS and any other reviewer make their own determinations.

Date-of-Death Fair Market Value for Cook County Estates

For federal estate tax purposes, property is generally valued at fair market value on the date of death. The IRS estate tax FAQ notes that an executor may elect an alternate valuation date in limited circumstances. IRS Publication 561 defines fair market value as the price at which property would change hands between a willing buyer and willing seller, neither under compulsion and both with reasonable knowledge of the relevant facts.

An estate report should therefore state:

The decedent and date of death: So the effective date is unambiguous.
Who owned the property: Usually the estate, represented by the executor.
The value definition: Fair market value, not replacement cost or auction estimates.
Restrictions or conditions: Fractional ownership, liens, or anything else that affects what a buyer would pay.
The market used: Where comparable items would ordinarily sell.

Most estate appraisal work involves jewelry, art, furniture, silver, and collections. Items valued above a certain level are typically expected to be supported by a written appraisal on the estate tax return , so executors should confirm thresholds with their attorney or CPA before deciding what to appraise.

Chicago does not change these federal rules. Illinois probate requirements, Cook County court practice, and local market evidence may shape what the report addresses, but the federal framework controls for the tax filing. USPAP compliance also does not by itself satisfy every tax requirement; the report must fit the specific form and rule it supports.

Get a Report That Holds Up Before You File

A defensible Chicago appraisal report is built from small, checkable parts: a stated purpose, identifiable items, a correct effective date, real market evidence, and a signed certification. Compare any report you receive against the checklist above, and ask questions before the filing deadline, not after.

We complete personal property appraisals online by default, with on-site inspection available for larger engagements. To start a report for an estate or donation, request an appraisal and tell us the purpose and timeline.

This article is provided for general informational purposes only and does not constitute legal, tax, or financial advice. Readers should consult a qualified attorney or CPA regarding their specific circumstances.