This equips estate attorneys with the knowledge and tools needed to properly manage atypical or hard-to-value assets during estate administration. As individuals increasingly diversify their wealth, estates often include nontraditional assets such as cryptocurrency, NFTs, collectibles, intellectual property, farmland, businesses, mineral rights, and more.
Condensed Step-by-Step Process
- Use Qualified Appraisals for Valuation
- Learn when and why professional, IRS-compliant valuations are needed to avoid tax and legal issues.
- Identify hard-to-value assets (e.g. crypto, art, collectibles, businesses).
- Hire qualified appraisers with asset-specific expertise.
- Ensure IRS-compliant reports for estate or tax filings.
- Document appraisals for recordkeeping and legal protection.
- Understand and Apply Step-Up in Basis
- Understand how this rule can reduce capital gains tax for heirs and why it’s critical to apply it correctly.
- Identify appreciated assets (stocks, real estate, digital assets).
- Adjust basis to fair market value at the date of death.
- Use the new basis to reduce capital gains taxes when assets are sold.
- Keep detailed documentation for heirs and tax reporting.
- Guidance on Managing A Wide Range of Asset Types
- Including:
- Digital assets (e.g., crypto, NFTs, cloud files)
- Luxury tangible collections (art, fashion, coins, vehicles)
- Real property (undeveloped land, farmland)
- Specialty property (livestock, aircraft, firearms)
- Business interests and intellectual property
- Client files for professionals in private practice