Market valuation for tax purposes
Many provisions of the laws administered by the Commissioner of Taxation require a market value to be determined. This guide is intended to provide assistance to taxpayers and their advisers (including valuers) on the processes to establish a market value for taxation purposes.
While the process of valuing a thing can range from being simple to complex, the principles remain constant. These accepted principles of valuation are outlined in this guide.
This guide is not intended to be a comprehensive handbook for undertaking valuations, or to provide guidance in the process of valuing all things. It provides guidance on the more commonly valued things and supplements other advice and guidance we have provided on matters dealing with valuations (refer to the Appendix).
More comprehensive material, prepared by those experienced in the valuation process, already exists in the public domain.
We expect most readers of this guide to be those who are required to value things for taxation purposes. Taxpayers and their advisers, including valuers, may variously find the guide useful when drafting instructions and understanding the actions of valuers and the expectations of the ATO.