Objective. To quantify the concurrent accuracy and the test-retest reliability of a Kinect V2-based upper limb functional assessment system. Approach. Ten healthy males performed a series of upper limb movements, which were measured concurrently with Kinect V2 and the Vicon motion capture system (gold standard). Each participant attended two testing sessions, seven days apart. Four tasks were performed including hand to contralateral shoulder, hand to mouth, combing hair, and hand to back pocket. Upper limb kinematics were calculated using our developed kinematic model and the UWA model for Kinect V2 and Vicon. The interdevice coefficient of multiple correlation (CMC) and the root mean squared error (RMSE) were used to evaluate the validity of the kinematic waveforms. Mean absolute bias and Pearson's r correlation were used to evaluate the validity of the angles at the points of target achieved (PTA) and the range of motion (ROM). The intersession CMC and RMSE and the intraclass correlation coefficient (ICC) were used to assess the test-retest reliability of Kinect V2. Main Results. Both validity and reliability are found to be task-dependent and plane-dependent. Kinect V2 had good accuracy in measuring shoulder and elbow flexion/extension angular waveforms (CMC>0.87), moderate accuracy of measuring shoulder adduction/abduction angular waveforms (CMC=0.69-0.82), and poor accuracy of measuring shoulder internal/external angles (CMC<0.6). We also found high test-retest reliability of Kinect V2 in most of the upper limb angular waveforms (CMC=0.75-0.99), angles at the PTA (ICC=0.65-0.91), and the ROM (ICC=0.68-0.96). Significance. Kinect V2 has great potential as a low-cost, easy implemented device for assessing upper limb angular waveforms when performing functional tasks. The system is suitable for assessing relative within-person change in upper limb motions over time, such as disease progression or improvement due to intervention.