Georgia residents who collect art or other valuable items may want to pass those assets down to loved ones. Including art and collectibles in wills, however, requires a degree of advance planning and communication with heirs. The first step involves determining the value of the collection so that taxation matters are clarified.
A good approach is to identify a professional appraiser or dealer who can assist in placing a value on a collection. Some people choose to have their artwork or collectibles appraised every few years for insurance purposes, and including that documentation with estate planning documents can be helpful. Others prefer to simply provide the names of a few trusted professionals so that their heirs can have the collection appraised when the time comes.
Once the collection has been valued, heirs can make an informed decision about how to handle those assets. This prevents an heir from selling part or all of the collection for far less than it’s worth. It also helps in the calculation of the value of an estate, which is important for tax purposes.
After the loss of a loved one, many Georgia residents are overwhelmed with the sheer volume of tasks that must be accomplished. Obtaining valuation of an inherited collection of art or other objects can add to an already stressful time. By taking the proper steps during the creation of an estate plan, it’s possible to simplify matters for loved ones when the time comes to put wills and other estate planning documents into action.
Source: wtop.com, “How to include valuable art and collectibles in your estate plan“, Dawn Doebler, May 30, 2018