How long is an appraisal good for for gift tax purposes?

An appraisal for gift tax purposes should have an effective date at or very near the actual date of the gift, generally no more than about 60 days before the transfer, and must be filed with an adequately disclosed Form 709 to start the clock on the IRS's three-year window to challenge the value.

There isn't a fixed "shelf life" printed on the report itself. Instead, two timelines matter:

• Before the gift: The valuation needs to reflect fair market value as of, or very close to, the gift date. If too much time passes between the appraisal date and the actual transfer, market conditions may have shifted enough that an updated valuation is warranted.
• After the gift: Once the appraisal is attached to a properly and adequately disclosed gift tax return, that value is protected by a three-year statute of limitations. If the IRS doesn't challenge it within three years of filing, the value becomes final and binding for both gift and future estate tax purposes. Without adequate disclosure, which typically requires a qualified appraisal with detailed methodology and supporting data, the IRS can revisit the valuation at any time, no matter how old it is.

For this reason, you should retain the appraisal and all supporting documentation indefinitely, since prior gift values carry forward into eventual estate tax calculations. A USPAP-compliant gift tax appraisal prepared close to the transfer date and filed correctly with Form 709 gives you the strongest position for locking in that value.

For more on what qualifies as adequate disclosure, see our answers on what documentation you need for Form 709 and whether an appraisal is required for a gift tax return.