In a submission to a parliamentary inquiry reviewing the proposed Capital Gains Tax (GCT) reforms, the Council of Small Business Organisations Australia (COSBOA) has endorsed the recommendations advanced by the Auctioneers and Valuers Association of Australia (AVAA) concerning clear valuation guidance, consistent methodologies and recognised competency standards.
COSBOA has reiterated the position of AVAA that unclear valuation arrangements could add to the compliance burden already faced by small businesses and increase uncertainty for taxpayers and advisers.
While COSBOA’s submission focused primarily on the broader economic and productivity implications of the proposed capital gains tax changes, it also highlighted the practical challenges associated with valuation. COSBOA noted that many businesses contemplating succession, sales or retirement planning could face difficulty establishing values as at 1 July 2027, potentially creating costly disputes and uncertainty.
Importantly, COSBOA stated that, should the legislation proceed in its current form, it supported AVAA’s recommendations for clear valuation guidance, consistent methodologies and recognised competency standards. It cautioned that poorly defined valuation requirements would undermine confidence in outcomes and contribute to additional red tape and compliance costs for small businesses.
The AVAA submission to the parliamentary inquiry reviewing the legislation concentrated on the practical implementation of the reforms rather than their underlying policy objectives. It argued that valuation should be recognised as critical tax administration infrastructure and recommended that the Treasury and the Australian Taxation Office (ATO) develop a formal Capital Gains Tax Valuation Framework before the commencement of the new arrangements.
The submission from AVAA also emphasised that the reforms extend well beyond residential property. Assets, including businesses, plant and equipment, motor vehicles, fine art, antiques and collectables, frequently operate within specialist markets where professional judgement and asset-specific expertise are required. AVAA argued that guidance should recognise the diversity of affected assets and the importance of competency, independence and professional standards in supporting reliable outcomes
.If the reforms proceed, appropriately qualified professionals will become increasingly important in establishing reliable and defensible values across a wide range of assets. The AVAA Certified Valuer (CVAu) credential and the AVAA Professional Standards provide taxpayers, advisers and government agencies with confidence that valuations have been prepared by practitioners operating within recognised competency, professional standards, continuing professional development and professional accountability frameworks. This is particularly important for specialist assets and situations where valuation evidence may influence taxation outcomes many years into the future.
The support expressed by COSBOA reflects the value of constructive collaboration between AVAA and key organisations representing different parts of the small business community. This collaboration demonstrates how engagement between peak bodies can help develop practical recommendations that support taxpayers, reduce unnecessary compliance costs and strengthen confidence in Australia’s valuation and auction sectors.
Don’t miss the 2026 Australian Valuers Symposia where the CGT reforms will be discussed in Sydney on 22 October 2026, Melbourne on 20 October 2026, and Brisbane on 23 October 2026. Secure your tickets and register online today.
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Interested In Finding Out More?
If you’re interested in AVAA’s member-driven policy advocacy associated with the Capital Gains Tax (GCT) reforms, send an email to government.affairs@avaa.com.au or telephone 1300 928 165. You can also stay up to date by following AVAA on LinkedIn, X/Twitter and Facebook.
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