When it comes to capital gains tax (CGT) in Queensland, getting the right numbers is essential. If you’ve sold or plan to sell a property that wasn’t your main residence—or if it changed use during your ownership—you may need a retrospective valuation to determine your CGT liability.
This article explains what retrospective property valuation is, when it’s required in Queensland for CGT purposes, how it works, and why it must be completed by a qualified professional.
What Is a Retrospective Property Valuation?
A retrospective property valuation determines the market value of a property at a specific date in the past. This value is used to calculate the property’s cost base for CGT purposes when records are missing, or when the ATO requires a market value substitution.
It provides a legal and justifiable basis for determining capital gains on:
- Investment property sales
- Change of use (e.g. from home to rental)
- Inherited property disposals
- Family law settlements or transfers
- Gifting or related-party transactions
When Do You Need a Retrospective Valuation in QLD?
You may need a retrospective valuation when:
- You converted your main residence to a rental property
- You inherited a property and plan to sell it
- You gifted or transferred a property to a related party
- The property was acquired before CGT documentation was required
- You lost your original purchase records
- The ATO requests substantiation of your CGT cost base
For CGT, the valuation date is usually:
- The date of change in use (e.g. when the property became a rental)
- The date of death for an inherited property
- The date of transfer for family law or related party transfers
How Is Retrospective Valuation Calculated?
A Certified Practising Valuer (CPV) assesses the market value based on:
- Historical sales data from the valuation date
- The condition and features of the property at that time
- Adjustments for renovations or improvements
- Suburb trends and economic conditions in that year
- Planning overlays and zoning at the time
If necessary, the valuer may request historical photos, real estate listings, council records, or building permits to reconstruct the property’s profile as of the valuation date.
Example Scenario
You bought a home in 2010 and moved out in 2016, renting it out until you sold it in 2024. You want to use the 2016 market value as your CGT cost base from the point it became an income-producing asset.
- 2016 value (retrospective): $550,000
- 2024 sale price: $780,000
- Taxable capital gain (before discounts): $230,000
A retrospective valuation substantiates the 2016 value and protects you in case of an ATO review.
Who Can Provide a Retrospective Valuation in QLD?
Only a qualified and independent Certified Practising Valuer (CPV) can prepare a CGT-compliant retrospective valuation. Look for a valuer who:
- Is a member of the Australian Property Institute (API)
- Has experience in retrospective and legal valuations
- Understands Queensland market conditions and tax regulations
- Provides fully documented, ATO-ready reports
Real estate agent estimates and online tools are not accepted for tax purposes.
What’s Included in a CGT Valuation Report?
- Valuation date (e.g. date property became a rental)
- Property description and improvements as of that date
- Comparable sales and market data from the period
- Explanation of the valuation methodology
- Valuer’s declaration, licence number, and compliance with API standards
- Supporting evidence (maps, past sale info, property history)
Cost of Retrospective Property Valuation in Queensland
| Property Type | Estimated Fee Range |
| Standard residential property | $600 – $1,200 |
| Investment property or duplex | $800 – $1,500 |
| Rural or lifestyle property | $1,200 – $2,500+ |
| Complex or commercial assets | $1,500 – $3,500+ |
Fees depend on the level of research, access to records, and complexity of the valuation date.
Why It Matters
- Avoid overpaying CGT by using accurate historical market value
- Ensure your tax return is audit-proof with documented evidence
- Comply with ATO regulations and avoid penalties
- Ensure fair outcomes in divorce, inheritance, or trust scenarios
Conclusion
In Queensland, a retrospective property valuation is an essential tool for anyone needing to calculate capital gains tax based on past market value. Whether you’ve inherited a property, converted a home to a rental, or are dealing with a family transfer, getting a professionally prepared valuation protects your financial interests and ensures ATO compliance.
Engage a certified valuer early to stay on top of your CGT reporting—and gain confidence in your numbers when it counts most.
