How do we calculate a land value at 1982 level for capital gains tax.

hilspars

My mother owns a freehold to a property which was converted into 2 flats in 1974. One of the leaseholders has just increased the lease by 99 years and payed accordingly. We want to get the CGT out of the way and I have seen the calculation on the HMRC website and spoken to them for an hour but I'm still none the wiser as to how I am supposed to work out the residual land value as of 31st March 1982. I have been in touch with land registry and they cannot help. 2 local estate agents had no idea. 
The only thing that I have found involves surveyors going to the property, preparing a report etc etc which sounds like an expensive way to pay tax!
Any advice greatly appreciated.

Pennywise

Unfortunately, yes, a professional valuation is what is needed and, yes, professionals charge for their time.
You can take a flyer and make your own estimate, but you'll have to tick the "estimate used" box on the tax return and put details in the "other information" box, which is highly likely to trigger an enquiry where they'll ask you for a professional valuation to support your figures!

hilspars

Pennywise said:

Unfortunately, yes, a professional valuation is what is needed and, yes, professionals charge for their time.
You can take a flyer and make your own estimate, but you'll have to tick the "estimate used" box on the tax return and put details in the "other information" box, which is highly likely to trigger an enquiry where they'll ask you for a professional valuation to support your figures!

I know it sounds stupid, but if I did that, would it then mean that they use the VOA to get the valuation to contend my estimate and therefore get the valuation for free? I have asked the VOA how to get a valuation and they said they only get involved in a dispute. We are not trying to dodge paying any tax , just get it over and done with.

JGB1955

Would you be able to offset the cost of a RICS survey against the CGT payable? 

lincroft1710

hilspars said:

Pennywise said:

Unfortunately, yes, a professional valuation is what is needed and, yes, professionals charge for their time.
You can take a flyer and make your own estimate, but you'll have to tick the "estimate used" box on the tax return and put details in the "other information" box, which is highly likely to trigger an enquiry where they'll ask you for a professional valuation to support your figures!

I know it sounds stupid, but if I did that, would it then mean that they use the VOA to get the valuation to contend my estimate and therefore get the valuation for free? I have asked the VOA how to get a valuation and they said they only get involved in a dispute. We are not trying to dodge paying any tax , just get it over and done with.

It is quite probable they would use the VOA. Your problem is if you believe the VOA figure is too low and as you have no evidence to counter this, you have to employ a surveyor.