Machinery & Equipment Appraisal Guides & Insights

Estate Valuation of Woodworking Equipment: What the IRS Actually Expects

The IRS requires inherited woodworking equipment to be reported at fair market value on the date of death, not replacement cost, and estates above the federal exemption must attach a qualified appraisal to Form 706. This guide walks executors through the valuation standard, the 2025-2026 filing thresholds, and why a written appraisal matters even when no tax return is due.