SMSF managers must prepare annual financial accounts and statements including a valuation of any property assets to confirm a fund has complied with relevant super law. Fund assets are to be valued at their market value at 30 June each year.
When it comes to valuing property assets, the two most important considerations for trustees are the valuation approach adopted and the timing of the assessment. Having objective and supportable data demonstrating market value and the valuation methodology used will enable compliant reporting.
The ATO recommends funds consider the use of a qualified independent valuer if the value of the asset represents a significant proportion of the fund's value or, the nature of the asset indicates that the valuation is likely to be complex or difficult.