ato logo
Search Suggestion:

Market valuations

Find out when to apply an independent market valuation.

Last updated 25 August 2024

If you have a market valuation

If you have a current independent market valuation for your supply, you must use it, unless you qualify to use the transitional arrangements for market valuations.

An independent market valuation may include a valuation by a licenced valuer or a real estate agent, but it doesn't include internal market valuations. If you have a licenced valuer's market valuation, you must use that valuation, unless you're eligible to use the transitional arrangements for market valuations.

Your options for determining if a supply is for nominal consideration depends on when the independent market valuation was done.

See how to apply benchmark market values if you don't have an independent market valuation.

Transitional arrangements for market valuations

If you had an independent market valuation, but you use the benchmark market values instead to determine if your supply is for nominal consideration, you have a transition period until 30 June 2023.

If you were making that supply before 1 January 2019, you may use any of the following:

After 30 June 2023, you can't use the benchmark market values if you have an independent market valuation that's less than 4 years old.

CPI adjusted market valuation

If you have an independent market valuation less than 4 years old, you can adjust that valuation by CPI and use that figure to determine if your supply is made for nominal consideration. Use the all groups CPI, quarterly changeExternal Link table on the Australian Bureau of Statistics (ABS) website to adjust your valuation by CPI.

Short-term accommodation and meals

For short-term accommodation and meals, you can use the CPI weighted average of 8 capital citiesExternal Link on the ABS website to adjust your valuation by CPI.

Long-term accommodation

For long-term accommodation you can use:

To adjust your valuation for CPI by using the rents component of the Housing Group CPI:

  1. Go to the ABS consumer price index page.
  2. Go to the Data Downloads tab.
  3. Download the spreadsheet for Table 11 (you may need to 'Show all data' to see Table 11).
  4. Find the row relating to rents for the capital city in your state or territory and select the link in the Series ID column. This takes you to the column of quarterly CPI changes for rents for that capital city.
  5. Go to the end of the column and find the quarter that your market valuation was made.
  6. Go to the next row (the following quarter) and adjust your market valuation by the percentage shown.
  7. Repeat this for each quarter up to the quarter you require the CPI adjusted market valuation for.

Current year valuation

If you have an independent market valuation for the supply for the current year, you must use that valuation. You can't use the benchmark market values.

Valuation 1 to 4 years old

If you have an independent market valuation for a previous year less than 4 years old, you can't use the benchmark market values.

To determine if your supply is for nominal consideration, you can do one of the following:

Valuation more than 4 years old

If the independent market valuation is more than 4 years old, and you don't have a more recent independent market valuation, you can do any of the following:

 

QC32370