Registration of valuers
[As per the Income Tax Act, 2025 (this Act) w.e.f. 1st April, 2026.]
Section 514(1) of Income Tax Act 2025
514(1) The Principal Chief Commissioner or Chief Commissioner, or the Principal Director General or Director General, shall maintain a register of valuers in which the names and addresses of persons registered under sub-section (2) shall be entered.
Section 514(2) of Income Tax Act 2025
514(2) Any person, possessing such qualification for valuing such class of assets, may apply to the Principal Chief Commissioner or Chief Commissioner, or the Principal Director General or Director General, for getting registered as a valuer, in such form, verified in such manner and accompanied by such fee, as prescribed, along with a declaration stating that the applicant will––
- 514(2)(a) conduct an impartial and true valuation of any asset required to be valued;
- 514(2)(b) furnish a valuation report in the prescribed form;
- 514(2)(c) charge fees not exceeding the prescribed rate or rates; and
- 514(2)(d) refrain from undertaking the valuation of any asset in which such person has a direct or indirect interest.
Section 514(3) of Income Tax Act 2025
514(3) The valuation report prepared by a registered valuer for any asset shall be in such form and verified in such manner, as prescribed.
Here are some possible FAQs based on the given sections of the Income Tax Act, 2025:
FAQs on Registration of Valuers
1. Who is responsible for maintaining the register of valuers?
As per Section 514(1) of the Income Tax Act, 2025, the Principal Chief Commissioner or Chief Commissioner, or the Principal Director General or Director General is responsible for maintaining a register of valuers.
2. Who can apply for registration as a valuer?
Any person possessing the prescribed qualifications for valuing a specific class of assets can apply for registration as a valuer under Section 514(2).
3. How can a person apply for registration as a valuer?
An eligible person can apply to the Principal Chief Commissioner, Chief Commissioner, Principal Director General, or Director General in the prescribed form, verified in the prescribed manner, and along with the applicable fee.
4. What are the key obligations of a registered valuer?
As per Section 514(2), a registered valuer must:
- Conduct impartial and true valuations (514(2)(a)).
- Furnish valuation reports in the prescribed form (514(2)(b)).
- Charge fees within the prescribed limits (514(2)(c)).
- Not undertake the valuation of any asset in which they have a direct or indirect interest (514(2)(d)).
5. What is the format of the valuation report?
The valuation report prepared by a registered valuer must be in the prescribed form and verified in the prescribed manner, as per Section 514(3).
Under Section 514 of the Income Tax Act, 2025, effective from April 1, 2026, the Principal Chief Commissioner, Chief Commissioner, Principal Director General, or Director General shall maintain a register of valuers. Qualified individuals can apply for registration in the prescribed manner and with the applicable fee.
Registered valuers must conduct impartial valuations, furnish reports in the prescribed form, charge fees within set limits, and avoid valuing assets in which they have a direct or indirect interest. The valuation report must follow the prescribed format and verification process.
