Valuing chattels

Our Experts Answer:

If you are to split chattels from the depreciable cost base it must be done in the first return of income for the property. This would indicate you still have this opportunity. The values used need to represent the second-hand market values and should be further reduced by a deemed depreciation amount designed to recognise actual fall in value whilst being used domestically. There is no requirement for a registered valuation but IRD do expect you to retain evidence of how you have arrived at your values.