A few months ago a couple came by Jewels On Hampton to review several boxes of valuables that had been part of an estate. The items included jewelry, gold and silver coins and a large number of small collectibles. These items had been collected over many years by the relative who had passed on.
Collectible Values Change – They go Up and Down
Many of the items had been valued for insurance purposes decades ago. As we looked over the individual pieces and looked up today’s market value many of these items were not worth as much as they had been.
Public Record Values Affect Estate Taxes
When you are receiving items as part of an inheritance, often the value of those items are part of the public record. Depending upon your situation, you may owe taxes on a portion of your inheritance. Taxes are calculated based on the values reported by the estate.
In this situation, the couple discovered that the actual value reported by the trustees was far less than the value that could be derived from sale at fair market value. The difference was so great that the taxes could have been more than the value of the inheritance.
At Jewels On Hampton, we welcome people who have questions about the value of their inherited items. Trustees are invited to stop by and have the estate’s coin collection, jewelry, gemstones, antiques or other collectibles evaluated by our experienced appraisers. By making sure the values associated with those gifts from the estate do not create an unexpected financial burden, trustees will do well in honoring the wishes of the departed.