What makes a valuation hold up.
Most valuation problems are not disagreements about value. They are the wrong kind of report, commissioned for the wrong purpose, at the wrong date — and every one of them is cheaper to avoid than to fix.
Quick answer
The ATO expects a tax-purpose valuation to be specific to the provision it serves, prepared by a suitably qualified valuer, built on a recognised methodology and credible evidence, and documented well enough that the process can be replicated. In practice that means a named valuer, a stated effective date, analysed comparable sales, methodology, assumptions and a signed certification. An agent appraisal, an automated estimate or a bank valuation has none of that.
In this cluster
5 guides, in the order they apply.
Read the ATO guide first — it sets the standard the four comparisons are measured against. If a report has already been questioned, start with the expert witness service rather than a guide.
The service behind this
When you need the report, not the reading.
Fixed fees from $440 incl. GST for standard metropolitan residential. Quotes returned within 2 business hours, reports in 5 business days of inspection.
Sources
- Market valuation for tax purposes — Australian Taxation Office
- Income Tax Assessment Act 1997 — Consolidated Act, AustLII
- Australian Property Institute — Professional Practice Standards and the CPV designation
General information about how valuations are used for tax purposes. Not tax advice. Your accountant or tax agent should confirm which provision applies to your circumstances.
Written and reviewed by
Jarrad Khoury
Head of Valuations at Asset Valuations Group, where he leads the Business Valuation Services division. Over 10 years in property and business valuation. Registered Valuer in Queensland (Not Limited), Licensed Valuer in Western Australia (Not Limited), CPV through the Australian Property Institute (Not Limited), CPV and CBV through the Australian Valuers Institute, and Registered Business Valuer through the AIBB.
Last reviewed 15 September 2026 · About the practice · Editorial policy