Why you shouldn’t rush to value your property ahead of 2027 tax change

September 30, 2026 — 5:00am

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Under the new capital gains tax rules, some properties may need a market value established at June 30, 2027 so that gains accruing before and after July 1, 2027 can be calculated. Given the huge number of properties potentially involved and the relatively small number of valuers, should property owners arrange a valuation before June 30, or will the tax office accept a retrospective valuation done later? We are confused because we have heard two different views. Furthermore, do we need a registered valuer?

An Australian Taxation Office spokesman tells me there is no need to rush out and have your property valued before June 30, 2027. In fact, if you intend to rely on a market valuation, you should not obtain one now. A prospective valuation – one prepared before the specified valuation date – will not be acceptable. A retrospective valuation prepared later can be used and, in many cases, may be preferable because the valuer will then have access to a broader range of records and comparable sales around the relevant date, allowing a more informed assessment.

There is another important point. The new rules apply to capital gains accruing from July 1, 2027, but tax is generally not payable until the gain is eventually realised, such as when the property is sold. If you choose to use a valuation-based method to work out your tax consequences, you will only need the valuation, at June 30, when preparing your tax return in the year of disposal and self-assessing your taxable gain. You may, of course, choose to obtain the valuation earlier.

Importantly, not every affected property will necessarily need a formal valuation. Taxpayers may have a choice between establishing the property’s market value immediately before 1 July 2027 and using an alternative apportionment method the Government is developing. The Tax Office says it will provide further guidance, tools and calculators once the........

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