How to Order a CGT Valuation for Your Investment Property

7 Oct

Ordering a capital gains tax (CGT) property valuation is one of the smartest moves an investor can make to ensure their tax outcomes are ATO compliant and financially optimal. Here’s a clear step-by-step for those selling, transferring, or changing the use of their investment property in Sydney, Melbourne, or anywhere in Australia.

What is a CGT Valuation and Why Is It Necessary?

A CGT valuation provides an objective market value of your property, used to calculate the taxable capital gain when your property’s use changes, is sold, or transferred. The Australian Taxation Office requires a certified, evidence-based report prepared by a professional valuer, not just a real estate agent’s appraisal.

Step-by-Step Process

Step 1: Identify Your CGT Event

Common triggers include:

Sale or transfer of an investment property
Change from owner-occupied to investment use
Inherited property sale
Missing purchase records or related-party transactions

Step 2: Collect Your Documentation

Prepare:

Purchase contract and date
Sale contract and date (if applicable)
Records of renovations, improvements, holding costs
Ownership history and relevant usage changes
Any missing information for retrospective reports

Step 3: Choose a Certified Property Valuer

Seek Australian Property Institute (API) accredited “Certified Practising Valuer” with experience in compliant CGT valuations and local market knowledge.

Step 4: Book Your Valuation

Discuss the required valuation date, scope, urgency, and quote. For some retrospective valuations, site access isn’t required. Contact a ValueMax Property Valuer today to discuss your CGT Valuation.