S.L. 123.55 Art. 6Market price.

(1) When the valuation of a benefit includes the determination of the price, hereinafter referred to as "the market price", which any property would fetch if sold in the open market then, subject to the other provisions of this rule, an expert valuation shall constitute sufficient evidence of that price.

(2) When an expert valuation is made at the request of the Commissioner, hereinafter referred to as "the Commissioner’s valuation", and another expert valuation relating to the same property is made at the request of the provider of the benefit or of the beneficiary, hereinafter referred to as "the beneficiary’s valuation", the following provisions shall apply:

(a) if the beneficiary’s valuation is produced to the Commissioner before the Commissioner’s valuation is made and the market price indicated in the Commissioner’s valuation does not exceed by more than 15% that indicated in the beneficiary’s valuation, the beneficiary’s valuation shall constitute evidence of that price to the exclusion of the Commissioner’s valuation;

(b) if the beneficiary’s valuation is produced after the Commissioner’s valuation has been made, or if the market price indicated in the Commissioner’s valuation exceeds by more than 15% that indicated in the beneficiary’s valuation, the Commissioner’s valuation shall, subject to the provisions of sub-rule

(3) hereof, constitute evidence of that price to the exclusion of the beneficiary’s valuation: provided that nothing in this sub-paragraph shall prevent the Commissioner’s valuation from being questioned in an appeal against a tax assessment made in accordance with the relevant provisions of the Income Tax Management Act.

(3) In an appeal filed in the Administrative Review Tribunal an expert valuation exhibited by either party, when confirmed by the valuer under oath, shall constitute sufficient evidence of the market price, unless the other party exhibits another expert valuation, likewise confirmed by the valuer under oath, in which case the following provisions shall apply:

(a) when the provisions of sub-rule (2)(a) are applicable, the Tribunal shall decide the matter in accordance with those provisions;

(b) in any other case the Tribunal shall appoint an independent expert valuer to draw up and confirm under oath a further expert valuation and, subject to any consideration which the Tribunal may consider appropriate, decide the matter accordingly.

(4) An expert valuation shall not, merely on the basis of the foregoing provisions of this rule, constitute evidence of any matter relevant to the determination of the value of a benefit other than the market price.

(5) When a declaration of the value of a benefit made by the beneficiary or by the provider of the benefit is supported by an expert valuation produced to the Commissioner, and the value declared results to be less than the value that is finally determined to be the correct value, the declaration shall not, to the extent that it is so supported, be held to represent an omission for the purposes of article 56(12) of the Act or an offence for the purposes of Part IX of the Income Tax Management Act or a default for the purposes of the Final Settlement System (FSS) Rules:

Provided that the provisions of or prescribed under the Income Tax Acts relating to the tax (but not additional tax) chargeable and payable with respect to the benefit, to interest payable on the late payment of that tax and to the amount of tax that should be deducted from emoluments and remitted to the Commissioner by a payer shall apply by reference to the correct value of the benefit as finally determined.

(6) In this rule "expert valuation" means a written opinion of the market price as on the date relevant for that purpose in accordance with the provisions of these rules drawn up by a person recognised by the Commissioner or by the Administrative Review Tribunal, as the case may be, as competent to express an expert opinion on that price containing a description of the property in question and stating briefly the relevant considerations.