CAPITAL GAINS TAX — PROPERTY VALUATIONS
Independent property valuations for CGT.
We prepare independent property valuations for CGT purposes — current or retrospective — documented for ATO review. Your accountant or tax adviser should confirm whether a valuation is required and the applicable valuation date.
We respond to every enquiry within one business day.
HOW WE WORK
Reports prepared in accordance with ATO guidelines.
Prepared to ATO guidelines
Reports set out the methodology, comparable evidence and reasoning relied upon, in the form the ATO’s market valuation guidance calls for.
Current or retrospective
Where the relevant date has passed, we value as at that date using the sales evidence and market conditions that existed at the time.
Independent of any sale
We do not sell property, hold agency appointments, or earn commission on any transaction involving a property we value.
Every property type
Residential, commercial, industrial, rural and specialised assets — assessed by valuers who work in that class of property.
Fixed fee, agreed first
Scope, fee and timeframe confirmed in writing before work begins. No variation unless the scope changes and you approve it.
Supported if it is queried
We retain the working papers and evidence file, and the valuer who signed the report is available to explain and support it.
WHEN A VALUATION MAY BE REQUIRED
When a property valuation may be required.
There are various reasons a property valuation may be required for CGT purposes. The need for a market valuation depends on the circumstances and any applicable exemptions, concessions or rollovers.
A primary place of residence changed into an investment property
A valuation may assist where a home becomes an income-producing property. We can assess market value at the date identified by your accountant or tax adviser, including retrospectively where no valuation was obtained at the time.
Partial main residence exemption
Where a dwelling has been part home and part income-producing, or the land exceeds two hectares, valuation evidence may assist with an apportionment, where relevant.
Transfers between related parties
A valuation may be required for transfers to family members, family trusts, companies or self-managed funds. Your accountant or tax adviser should confirm the tax consequences and relevant valuation date.
Deceased estates
A valuation may be required for an estate matter at the date of death or another relevant date, depending on the circumstances.
Change of use or subdivision
A valuation may be required for subdivided holdings or properties whose use changes, depending on the circumstances.
Residency changes
A current or retrospective valuation may be required for property interests affected by residency changes. Your accountant or tax adviser should confirm the tax implications and relevant date.
THE EVIDENCE STANDARD
Evidence that explains the valuation.
A defensible valuation report sets out the methods, evidence, assumptions and reasoning behind the assessed market value.
Limitations of informal value estimates
- A selling agent’s appraisal, prepared to secure a listing rather than to evidence value.
- An automated online estimate, generated by a model that has little or no human valuer input.
- A council rates notice or land tax assessment, which measures something different for a different purpose.
- An insurance replacement figure, which addresses rebuilding cost and not market value.
- The sale price of a neighbouring property, offered without adjustment or analysis.
- A retrospective figure produced by discounting today’s value by a general market index.
What we document
- The purpose, the interest valued, the basis of value and the exact date of valuation.
- The valuer’s qualifications, registration and declaration of independence.
- A full description of the property, its title particulars, planning controls and physical characteristics.
- Comparable sales contemporaneous with the date of valuation, analysed and adjusted rather than merely listed.
- The valuation approach adopted and the reasoning for it, with a cross-check where the property class allows.
- All assumptions and limiting conditions, so the reader knows exactly what the conclusion depends on.
THE DELIVERABLE
What the report contains.
A signed valuation report prepared for taxation purposes — written so your accountant, your lawyer, and if necessary a reviewer at the ATO can follow it without calling us to explain it.
Instruction and scope
Who engaged us, the purpose of the valuation, the interest valued, the basis of value and the date of valuation.
Credentials and independence
The valuer’s qualifications, registration and experience, with a declaration of no interest in the property or its sale.
Property identification
Title particulars, land area, zoning and planning controls, easements and encumbrances, and the improvements as they existed at the date of valuation.
Inspection or basis of assessment
What was inspected and when — or where the date is historical, the basis on which the property’s condition at that date has been established.
Market commentary at the date
Conditions prevailing in that location and property class at the relevant date, drawn from evidence available at the time.
Comparable sales evidence
Transactions contemporaneous with the date of valuation, each analysed and adjusted for differences in location, size, condition and timing.
Approach and reasoning
The approach adopted — direct comparison, capitalisation of income, summation or hypothetical development — and why it fits this property.
Cross-check where applicable
A secondary approach applied as a sense check, with any divergence explained rather than averaged away.
Assumptions and limiting conditions
Every assumption made explicit, particularly where the date is historical and certain matters must be assumed rather than observed.
Signed conclusion of value
The assessed market value at the relevant date, signed by the valuer responsible for it.
HOW IT WORKS
From enquiry to signed report.
Scope and fee
A short conversation with a valuer to confirm the property, the correct date of valuation and the CGT event involved. You receive a fixed fee, a timeframe and a specific list of documents required.
Inspection and analysis
Inspection where the date and circumstances call for it, followed by comparable evidence research and analysis referenced to the date of valuation.
Signed report
The full report issued to you or your adviser, with the valuer available to discuss the reasoning — and to respond if the position is later reviewed.
BEFORE YOU ENGAGE US
Questions we’re asked.
What date should the valuation be as at?
The relevant date depends on the CGT event or provision applicable to your matter and should be confirmed by your accountant or tax adviser. Where a valuation is required for the 1 July 2027 transition, the relevant market value is immediately before 1 July 2027 (being 30 June 2027). We confirm the valuation scope and date before quoting.
Can you value as at a date several years ago?
Yes. Retrospective assessments are common when it comes to CGT valuations. We are able to discuss the matter with you and agree on a list of assumptions as to the asset condition.
How is the report prepared for ATO review?
No valuer can guarantee how a specific matter will be assessed, and we will not suggest otherwise. What we can do is prepare the valuation so that the methodology, evidence and reasoning are fully set out in the form the ATO’s guidance calls for — which is the basis on which a market valuation is assessed.
What happens if the valuation is queried?
The valuer who signed the report responds. We retain the working papers and the evidence file, and we can explain and support the reasoning to your adviser or to the ATO. That capability is part of the reason the report is thoroughly explained.
What information will you need from us?
Where we are instructed to provide a desktop assessment, we request a description of the property and any supporting photographs that may be available.
What does it cost?
Fees are fixed and quoted upfront, and depend on the size and complexity of the property.
Establish the position while the evidence still exists.
Tell us the property address, the required date of valuation and the purpose. We’ll confirm your requirements and provide a fixed fee and a timeframe — before you commit to anything.
Not sure whether your matter needs a formal valuation at all? That’s exactly the kind of question we’re happy to answer before you engage us.