Auction house not “qualified appraiser”

The Tax Court has ruled that an appraisal of early Chinese art is not a “qualified appraisal” by a “qualified appraisal” for purposes of claiming a charitable contribution deduction, but that it will not penalize the donor because the donor had “reasonable cause” to believe that he had complied with the law.  The donor had previously settled a deduction claim with the Internal Revenue System when the claim was based on an appraisal by the same appraiser.