IHTM25111 - Valuing the partnership interest: Sales

The price which an asset fetches when sold is usually a good indication of its open market value. This is the case whether it is a sale of the deceased's partnership interest as a whole or of particular assets, e.g. plant and machinery/ stock.

However you should always investigate sales to relatives to ensure that they were at arm's length. You should also refer any freehold/leasehold property to the Valuation Office ( IHTM23002) and ask Shares and Assets Valuation to check the value of goodwill.

Note that sales to surviving partners may be below market value ( IHTM25120) so bear this in mind when asking questions.