Except as otherwise provided by FA 2004, Sch 15, the value of any property shall for the purposes of that Schedule be the price which the property might reasonably be expected to fetch if sold in the open market at that time; but that price shall not be assumed to be reduced on the ground that the whole property is to be placed on the market at one and the same time1.
This follows the exact style of the 'market value' provision for inheritance tax purposes2, though with one difference. For inheritance tax, the expression being defined is 'the value at any time of any property'; for pre-owned assets purposes the words 'at any time' are not used, but they would appear to be implied as a result of the retention of the words 'at that time'.
In relation to any land, chattel or intangible property, the 'valuation date' is prescribed by regulations and is 6 April in the relevant year of assessment or, if later, the first day of the 'taxable period'3.
In the case of land or chattels subject to the pre-owned assets charge, the computation of the chargeable amount relies on a factor V which is defined as 'the value of the relevant land at the valuation date'. The regulations contain provisions requiring this valuation to be by reference to the 'first valuation date' and a subsequent 'five-year anniversary'. In this regard the regulations seem to go further than the power implied by the provisions stating that '