Gift & Estate Tax Valuation Reports
409.AI helps shareholders prepare expert-reviewed fair market value analysis of private company interests as of the transfer date, supporting gift and estate tax filings.
A gift or estate tax valuation establishes the fair market value of private company shares or other closely held interests as of the transfer date, supporting amounts reported on IRS Form 709 or Form 706.
At a glance
| Report | Gift & Estate Tax valuation report |
|---|---|
| Summary | Expert-reviewed private-company valuation reports for gift and estate tax filings, with fair market value analysis as of the transfer date. |
| Price | From $1,999 |
| Jurisdiction | United States |
What is included
- Company and transferred-interest intake context
- Fair market value analysis as of the transfer date
- Discount analysis and rationale where applicable
- Documentation to support adequate disclosure conversations with advisors
- Expert-reviewed final valuation report
Frequently asked questions
When do I need a gift or estate tax valuation?
Typically when private company shares or other closely held interests are gifted to family members or trusts, reported on Form 709, or included in an estate reported on Form 706. The value must be established as of the transfer date.
What standard of value applies?
Fair market value for tax purposes: the price at which the interest would change hands between a willing buyer and a willing seller, neither under compulsion and both with reasonable knowledge of the relevant facts.
What is adequate disclosure and why does it matter?
Adequate disclosure means the gift tax return gives the IRS enough detail about the transfer and how it was valued, commonly by attaching an appraisal. It starts the three-year statute of limitations. Without it, the reported value stays open to challenge indefinitely.
What are valuation discounts?
Minority interests in private companies are often valued with discounts for lack of control and lack of marketability. Applied appropriately and documented clearly, they reflect what a buyer would actually pay for a non-controlling, illiquid interest.
Can I use my 409A valuation for a gift tax filing?
A 409A report is prepared for option pricing purposes and is generally not designed to support a gift or estate filing. Gift and estate reporting calls for a valuation of the specific transferred interest as of the transfer date, prepared for that purpose.
How does the current exemption affect planning?
The federal gift and estate tax exemption is $15 million per person from 2026, indexed for inflation. Founders often gift shares while values are still low so future appreciation accrues outside the estate, which is a strategy to discuss with your advisors.
What date is the valuation as of?
For gifts, the date of the gift. For estates, the date of death, or the alternate valuation date where the executor elects it. The analysis reflects what was known or knowable at that date.
Is this tax or legal advice?
No. The valuation report organizes company-provided information into supporting documentation and should be reviewed with qualified tax and legal advisors.