Capital Gains Tax (CGT) & Stamp Duty Valuations

Capital Gains Tax (CGT)

Leeson Valuers provides current and retrospective property valuations for CGT purposes, including:

• Establishing the market value of a property at a specific date;
• Determining market value following a change in use or intention, such as converting a principal place of residence into an investment property;
• Establishing historical market values for retrospective CGT assessments; and
• Assessing the market value of land and improvements for CGT purposes.

Stamp Duty & Transfer Duty

Property valuations may also be required for stamp duty and transfer duty purposes, particularly for non-arm’s-length transactions, family transfers, related-party transactions and corporate restructures.

Leeson Valuers prepares independent market valuation reports designed to provide reliable evidence of property value for submission to the relevant taxation and revenue authorities.

Rural Residential Properties & CGT Curtilage Assessments

For larger rural residential properties, the interaction between the principal place of residence exemption and the two-hectare limit can have a significant impact on CGT liability.

Where a principal residence is situated on land exceeding two hectares, the entire property may not qualify for the main residence exemption. However, up to two hectares of land, including the dwelling and its associated curtilage, may qualify for the exemption where the relevant requirements are met.

Importantly, the curtilage area may represent a disproportionately high component of the property's overall market value. A properly considered valuation and curtilage assessment can therefore have a significant impact on the amount of land and value subject to CGT.

Leeson Valuers, in conjunction with Jock Wigan, has assisted clients with curtilage assessments for rural residential properties, potentially resulting in substantial CGT savings.

For example, one vendor of a 4-hectare rural residential property achieved a reported CGT saving of more than $100,000 following our curtilage valuation assessment.

If you are considering selling, transferring or restructuring a property and require a current or retrospective valuation for CGT or stamp duty purposes, contact Leeson Valuers to discuss your requirements.