International Valuation Standards (IVS 2025)
Since April 2026, every valuation under the IBC follows IVS. Here's what the standards contain.
The International Valuation Standards (IVS) are issued by the International Valuation Standards Council (IVSC). The current edition took effect on 31 January 2025, replacing the edition effective 31 January 2022. They are principle-based: they tell you what a valuation must establish and disclose, not which number to use.
In India, IVS matter in two ways. Rule 8(1) of the Registered Valuers Rules lets a valuer follow 'internationally accepted valuation standards' until the government notifies its own. And since 1 April 2026, IBBI has notified IVS as the standards for every valuation under the Insolvency and Bankruptcy Code.
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How IVS 2025 Is Organised
Seven General Standards apply to every valuation; eight Asset Standards add requirements for particular assets. A compliant valuation follows both.
| General Standards | Asset Standards |
|---|---|
| IVS 100 Valuation Framework | IVS 200 Businesses and Business Interests |
| IVS 101 Scope of Work | IVS 210 Intangible Assets |
| IVS 102 Bases of Value | IVS 220 Non-Financial Liabilities |
| IVS 103 Valuation Approaches | IVS 230 Inventory |
| IVS 104 Data and Inputs | IVS 300 Plant, Equipment and Infrastructure |
| IVS 105 Valuation Models | IVS 400 Real Property Interests |
| IVS 106 Documentation and Reporting | IVS 410 Development Property |
| IVS 500 Financial Instruments |
Bases of Value IVS Defines
Summarised from the IVSC glossary. The exact wording is worth knowing for Market Value.
- Market Value
- The estimated amount for which an asset or liability should exchange on the valuation date between a willing buyer and a willing seller in an arm's length transaction, after proper marketing, where the parties each acted knowledgeably, prudently and without compulsion.
- Market Rent
- The same test applied to a lease: the amount for which an interest in real property should be leased between a willing lessor and lessee on appropriate lease terms.
- Investment Value (Worth)
- The value of an asset to a particular owner or prospective owner for individual investment or operational objectives.
- Equitable Value
- The price for a transfer between identified, knowledgeable and willing parties that reflects their respective interests.
- Synergistic Value
- The result of combining two or more assets or interests where the combined value is more than the sum of the separate values.
- Liquidation Value
- The amount realised when an asset or group of assets is sold piecemeal.
Where IVS Now Applies in India
IBBI's circular of 1 April 2026 notifies IVS, as updated from time to time, for valuations under these regulations.
| Process | Provision that points to the notified standards |
|---|---|
| Corporate insolvency resolution (CIRP) | Regulation 35(1)(c), CIRP Regulations |
| Liquidation | Regulation 35(3), Liquidation Process Regulations |
| Voluntary liquidation | Regulation 3(1)(b), Voluntary Liquidation Regulations |
| Pre-packaged insolvency resolution | Regulation 39(1)(c), PPIRP Regulations |
| Bankruptcy of personal guarantors | Regulation 30(2), the 2019 Bankruptcy Process Regulations |
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Cut-off Check
The exam reads law as notified on 30 June 2026. The IBBI circular dated 1 April 2026 falls inside that, and the SFA syllabus names IVS 'as updated January 2025'. Before that circular, the IBC regulations referred to 'internationally accepted valuation standards' or to the Registered Valuers Rules without naming IVS.
How the Valuation Examination Tests This
- check_circleEffective date: 31 January 2025. Options of 1 January 2025 or 31 January 2024 are distractors.
- check_circleCounting: seven General Standards and eight Asset Standards. The 300 series is plant, equipment and infrastructure; the 400 series is real property.
- check_circleBases confusion: Market Value (IVS) and fair value (Ind AS 113, ICAI VS 102) are close but not identical. IVS Market Value assumes proper marketing and no compulsion; Ind AS fair value is framed as an exit price between market participants.
- check_circleLanguage: IVS treats 'should' as presumptively mandatory. A valuer can depart only by showing the alternative still met the standard's objective.
FAQs
When did IVS 2025 become effective?expand_more
On 31 January 2025, with earlier adoption encouraged. It replaced the edition effective 31 January 2022.
Are International Valuation Standards mandatory in India?expand_more
For valuations under the IBC, yes: IBBI's circular of 1 April 2026 notified IVS for them. For other valuations by registered valuers, rule 8(1) allows internationally accepted standards or RVO-adopted standards until the government notifies its own.
What is the difference between market value and investment value?expand_more
Market value is what a typical willing buyer and seller would agree. Investment value is what the asset is worth to one particular owner or buyer for their own objectives, so it can be higher or lower.
Which IVS covers real estate?expand_more
IVS 400 Real Property Interests, with IVS 410 for development property. The General Standards IVS 100-106 apply alongside them.
Next steps
- ICAI Standardsarrow_forward
- Bases of Valuearrow_forward
- Valuation Under IBCarrow_forward
- Syllabusarrow_forward
Timed and scored, with negative marking.