On December 17, 2019 Forrest Vickery and Henry Kaskov, principals at Sanli Pastore & Hill, Inc. gave a presentation on Estate Planning Appraisal Fundamentals to a nationwide audience for Lorman Education Service. Using their over 30 years of combined experience in performing valuations for estate planning, mergers and acquisitions, expert testimony and financial reporting, Forrest and Henry presented to legal and related professionals that advise clients on gift and estate tax reporting matters.
The business is typically the cornerstone of an individual’s estate and its value. Knowing the aspects of a valuation and how to review a valuation report is critical for estate planning and filing returns with the IRS. This presentation discussed the various approaches and methods utilized in determining the value of a business, as well as the various drivers of a valuation assignment. The presentation focused on how adjustments to the reported financial statements and a careful review of key documents are essential to understanding the value of a privately held company and minority interests therein. Valuation discounts are often a controversial issue in fractional interest valuations and the speakers spoke on how these should be assessed and detailed in a report. Examples, illustrations and case studies showed attendees how to apply the concepts discussed so that they can be best prepared when submitting returns and reports to the IRS.