"sfb" wrote in message
news:H3Fif.3507$P33.1126@trnddc01...
IRS pub 561 puts the responsibility for the appraisal on you
and the IRS is not obligated to accept the appraisal without
question. Despite the magic of the 1998 act, the taxpayer still
retains much of the burden of burden of proof with regard to
fair market value.


Since when is an IRS Pub legal authority vs. mere plain-language
guidance? The burden will indeed shift to IRS at some point in the
dispute process.

Of practical significance is where the t/p secures an appraisal to
determine the amount to be reported, but the 1099 has significantly
more. If the IRS audits and determines that AOPA didn't use an
appraisal for the 1099, then I'm afraid they don't have much of a
case. They may try to argue that AOPA knows airplanes, but that
doesn't make them a qualified appraiser. Sounds like favorable
settlement material to me.

Fred F.