If your business has assets – such as vehicles, factory equipment, or property – it’s important to know when you might need a market valuation done and how to get one you can rely on.
When do you need a market valuation of your assets?
It is important to get a valuation when you:
- Transfer or sell assets to related parties
- Consolidate or change business structures
- Pass the asset threshold for the small business capital gains tax concession
- Sell your home which has more than two hectares of land
- Provide non-cash benefits to your employees
- Use the GST margin scheme if you are selling property as part of your business
- Consider other transactions involving assets.
How to apply for a market value private ruling?
You can apply to attain a market value ruling from the ATO which will give you a binding asset valuation you can rely on for tax purposes. Your application can be either for the ATO to provide you with a valuation, or to confirm a valuation you provide them. Alternatively, to ensure your application is correct you can lodge an application through us.