Capital Acquisitions Tax Consolidation Act 2003 section 26

Market value of property

Section 26 sets out how the market value of property is to be determined for the purposes of Capital Acquisitions Tax, including how Revenue may carry out valuations and the assumptions that apply when valuing unquoted shares.

• Market value is the price the property would fetch if sold on the open market on the valuation date, under conditions calculated to obtain the best price for the vendor, as determined by Revenue.
• Revenue may use any means they see fit to ascertain market value, including authorising a person to inspect the property — and if Revenue nominate a valuer, they must bear the cost of the valuation.
• Revenue must not reduce their estimate of market value on the grounds that placing the entire property on the market at the same time would depress the price — the possibility of a flooded market is to be ignored.
• When valuing shares or securities not dealt in on a stock exchange (unquoted shares), it is assumed that a prospective purchaser has access to all the information a prudent arm's length buyer would reasonably require.

---