Estate & Gift Tax Clients & Advisors

SP&H is the firm you depend on for complex valuations. Estate and gift tax appraisals are subject to ever increasing scrutiny by the IRS and the tax courts. For over 30 years, the principals of SP&H have built a strong track record of valuation opinions that withstand court, Securities and Exchange Commission (SEC), and IRS examination.

Examples of Complicated Valuation Engagements:

• Gift tax valuation of a carried interest in a private equity fund utilizing multiple discounted cash flow and call option pricing models. SP&H determined the asset values of four fund tranches in excess of invested capital and the mandated investment hurdle rate of return.

• Gift tax valuation of a medical device company with products in various stages of FDA clinical trials and a capital structure comprising several classes of preferred and common stock. SP&H's valuations employed several multi-year projections, binomial latticed -based option calculations, and probability weighted present value calculations of expected future cash flows.

• Estate tax valuation of a minority interest in a multi-tiered entity structure that owned agricultural, industrial and commercial real estate. The subject interest was a partnership owning real estate and a 25% tenancy-in-common interest in agricultural property.

• Estate tax valuation of a minority interest in a C-Corporation that owned S50 million in retail and commercial real estate, S25 million in marketable securities, and a non-controlling interest in another real estate- holding entity. The fair market value calculations included consideration of S17.5 million of built-in gains taxes on the properties owned by the company since the 1920s.