What key differences are there in the definition of Market Value under Section 160 IHT Act 1984 and the Red Book?
Section 160 IHTA 1984 provides a statutory, tax‑based definition of market value focused on an open market sale of the actual interest held, whereas the Red Book adopts a more explicit, professionally defined Market Value basis that sets out detailed assumptions around marketing, knowledge, arm’s‑length dealing and absence of compulsion. Section 160 defines what is being taxed, while the Red Book defines how valuers should estimate value. Where the two are used together, the Red Book provides the framework, but Section 160 ultimately governs the tax outcome.
How did you check you were competent to carry out this instruction?
I checked my competence by confirming that I had recent experience of residential valuations for Inheritance Tax purposes under Section 160 IHTA 1984, that the issues raised— including date‑of‑death valuation and hope value—fell within my technical ability, and that appropriate internal support was available within the VOA before accepting the instruction.
Tell me about your conflict of interest check.
I carried out a conflict of interest check by confirming I had no personal, financial or prior professional involvement with the property or parties, that my only duty was to HMRC as client, and that any perceived conflicts arising from family disputes were managed through transparency, impartial communication and adherence to VOA and RICS standards.
What would you have done if a conflict had arisen?
I would have disclosed the conflict immediately, sought internal guidance in line with VOA procedures, and if it could not be appropriately managed, declined or withdrawn from the instruction in accordance with the RICS Rules of Conduct.
How did you confirm the period the property was constructed in?
I confirmed the period of construction by inspecting the property’s architectural and construction features, corroborating this with historic mapping and Land Registry information, and cross‑checking against information held on the VOA’s internal database.
What other checks could you have done to determine whether access to
the adjoining land was blocking the subject property?
In addition to inspection, I could have reviewed Land Registry titles and historic deeds, checked planning records and historic mapping, and sought legal clarification from the executors’ solicitors to confirm whether access over the adjoining land was legally or physically obstructed.
What details did you review in your desktop risk assessment?
My desktop risk assessment considered mapping and aerial imagery, the residential nature of the property, access arrangements, correspondence highlighting potential personal safety considerations, and lone‑working risks, allowing me to confirm the inspection could be carried out safely and proportionately.
