ESS: Safe-harbour valuation methods

Start-up companies need to determine the market value of the ESS interests they provide.

Our Legislative Instrument provides approved market valuation methods you can use. If you choose to use one of the methods, you have the certainty that we will accept the valuation (referred to as a 'safe harbour' valuation).

The approved market valuation methods can be used for ESS that are in the form of shares (to establish the amount of the concessional 15% discount) and for ESS that are in the form of options (to establish entitlement to the start-up concession by ensuring the exercise price of the options is at least equal to the market value of the underlying shares).

Next step

The Legislative Instrument - Income Tax Assessment (Methods for valuing unlisted shares) 2015External Link and its Explanatory StatementExternal Link.

See also

    Last modified: 02 Jul 2015QC 45990