BIM55401 - Farming: stock valuation: general

The principles of stock valuation for Income Tax and Corporation Tax purposes, are set out at BIM33100 onwards, together with practical guidance on reviewing the stock valuation in a set of accounts. Those paragraphs apply equally to the valuation of farming stocks and provide the context within which the following paragraphs should be read.

BUSINESS ECONOMICS NOTE 19 (BEN 19).

In March 1993 the Department published, as BEN 19, an authoritative statement of the methods of valuing farming stock which are acceptable to the Inland Revenue. It was prepared after consultation with interested professional bodies (see BEN 19.1.1) and has been made widely available. Farmers and their professional advisors who follow its guidelines should be able to feel confident that their methods of valuation will be accepted.

BEN 19 is reproduced in full at BIM55410 with additional cross-references to internal publications added in italics.

For guidance on dealing with changes in the basis of valuation resulting from the publication of BEN 19, see BIM55415.