Tax valuation methodologies have evolved. Pavan Singh (Eight Advisory) considers whether the ‘art’ of valuations has been lost to too much ‘science’.
When I started my tax valuation seat more than 20 years ago one of the first things my boss at that time said was ‘put three valuers in a room and you will get three different answers’. As someone who studied law not finance or accounting this did not perturb me in the slightest. Tax valuations are based on what a hypothetical prudent purchaser would pay for a certain size of holding and our mammoth book of case law provided me with enough evidence that views will differ and outcomes will also be within a range of ‘reasonableness’. The key is presenting your view on valuation in a persuasive and robust manner. I remember also being told that you cannot ‘learn’ valuations. Yes it...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
Tax valuation methodologies have evolved. Pavan Singh (Eight Advisory) considers whether the ‘art’ of valuations has been lost to too much ‘science’.
When I started my tax valuation seat more than 20 years ago one of the first things my boss at that time said was ‘put three valuers in a room and you will get three different answers’. As someone who studied law not finance or accounting this did not perturb me in the slightest. Tax valuations are based on what a hypothetical prudent purchaser would pay for a certain size of holding and our mammoth book of case law provided me with enough evidence that views will differ and outcomes will also be within a range of ‘reasonableness’. The key is presenting your view on valuation in a persuasive and robust manner. I remember also being told that you cannot ‘learn’ valuations. Yes it...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
