Disclaimer: This article provides general information and does not constitute legal advice. Always consult a qualified attorney for guidance on your specific situation.
Detailed Answer
In Connecticut probate proceedings, the fair market value (FMV) of personal property is the price a willing buyer would pay a willing seller in an open market. The Probate Court requires an accurate valuation to determine estate taxes, creditor claims, and distribution to heirs.
Conn. Gen. Stat. § 45a-142 outlines the valuation process. Under this statute, within four months after the appointment of a fiduciary (executor or administrator), the court must order an inventory and appraisal of the decedent’s personal property. The judge appoints two disinterested appraisers unless the fiduciary and all interested parties agree on a single appraiser (Conn. Gen. Stat. § 45a-142).
The appraisers must:
- Inspect each item of personal property.
- Determine FMV based on comparable sales, auction results, or expert market data.
- Record each item’s description and appraised FMV in a sworn affidavit filed with the Probate Court.
If the fiduciary or an interested party objects to an appraisal, they may petition the Probate Court for rehearing or appointment of new appraisers. The court may then confirm, modify, or order a new appraisal.
Common factors affecting FMV include:
- Condition and age of the item.
- Recent sales of similar items.
- Collector demand or rarity.
- Economic conditions at the time of valuation.
Helpful Hints
- Start the appraisal process early to meet the four-month deadline under Conn. Gen. Stat. § 45a-142.
- Choose appraisers with experience in the specific category of property (antiques, jewelry, collectibles).
- Gather documentation: purchase receipts, recent sale prices, or auction catalogs to support valuations.
- Review appraisals carefully and compare values against online marketplaces.
- Keep clear records: file appraiser affidavits promptly to avoid court delays.
- Discuss potential tax implications with an accountant or estate planner.