Valuation Report Writing for Registered Valuers
Twelve items the law requires in every report, and the extra ones IBBI now asks for under the IBC.
A valuation is only as useful as the report that carries it. The reader (a Board, a bank, a resolution professional, a tribunal) never sees your spreadsheets; they see the report. So the law fixes what every registered valuer's report must state, and IBBI has gone further for reports under the Insolvency and Bankruptcy Code.
Three layers apply: rule 8(3) of the Registered Valuers Rules for every report, ICAI Valuation Standard 202 where the valuer reports under the ICAI standards, and IBBI's 15 June 2026 guidelines for IBC reports.
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What Every Report Must State: Rule 8(3)
| Clause | Content |
|---|---|
| (a) | Background information of the asset being valued |
| (b) | Purpose of valuation and appointing authority |
| (c) | Identity of the valuer and any other experts involved |
| (d) | Disclosure of valuer interest or conflict, if any |
| (e) | Date of appointment, valuation date and date of report |
| (f) | Inspections and/or investigations undertaken |
| (g) | Nature and sources of the information used or relied upon |
| (h) | Procedures adopted and valuation standards followed |
| (i) | Restrictions on use of the report, if any |
| (j) | Major factors taken into account |
| (k) | Conclusion |
| (l) | Caveats, limitations and disclaimers, only to explain the limitations the valuer faced, not to limit responsibility for the report |
What ICAI VS 202 Adds
- The conclusion
- A single amount or a range, clearly described. Where the law requires a specific figure, such as a share exchange ratio, the report must state it.
- Signature
- Name of the signing valuer, entity name if an entity is appointed, individual and entity registration numbers, date and place of signing.
- Caveats
- To be used with 'reasonable restraint'. Caveats are disclosed, but they cannot replace work the valuer should have done.
- Management representations
- If the valuer relies on written representations, the report says so and states the reliance placed on them.
- Documentation
- Kept ordinarily for not less than eight years from the report date, in a form another professional could review.
Reports Under the IBC: IBBI's 2026 Guidelines
Issued by circular on 15 June 2026 under the amended CIRP and liquidation regulations. The 23-item minimum content goes beyond rule 8(3). Items with no rule 8(3) counterpart include:
| Requirement | What it means in practice |
|---|---|
| Valuation Report Identification Number (VRIN) | Generated on IBBI's portal before submission (required since the 12 August 2024 circular); the 2026 formats also print it in the footer of every page |
| Basis and premise of value | Stated and defined: under the IBC the bases are fair value and liquidation value |
| Discounts and premiums | Each one applied, with reasons |
| Assets left out or valued at nil | Specific reasons for each |
| Sustainability and functional factors | Environmental, social and governance factors; for land and building, items such as RERA compliance, approvals, zoning and remaining economic life |
| Asset-specific formats | Separate formats for Land and Building, Plant and Machinery, and SFA, each opening with an executive summary that states fair value and liquidation value |
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A Report Outline That Meets All Three
For a Land and Building report on a flat in Pune for a bank; an SFA share valuation follows the same order.
- 1
Summary page
Client, purpose, asset, valuation date, inspection date, report date, value concluded, basis and premise.
- 2
Engagement and independence
Appointing authority, scope, your registration number, interest or conflict declaration.
- 3
Asset and information
Location, area, title documents seen, approvals, site inspection findings, sources of market data.
- 4
Analysis
Approaches considered and used, inputs and their sources, adjustments, reconciliation.
- 5
Conclusion and limits
Value, restrictions on use, caveats that explain real limitations, signature with date and place.
How the Valuation Examination Tests This
The Land and Building paper has a Report Writing module (3 marks); SFA tests reports in Overview of Valuation. Typical questions list report items and ask which is not required, or test the three dates.
- check_circleThree dates, three meanings: appointment date, valuation date (the date the value speaks to) and report date. Value at the valuation date, not the report date.
- check_circleCaveats under rule 8(3)(l) explain limitations; they may not limit responsibility. An option saying a caveat can exclude liability for the valuation is wrong.
- check_circleUsing another valuer's work (rule 8(2)): disclose it, and liability stays with you.
- check_circleVRIN applies to IBC reports. A question placing it on Companies Act reports in general is a distractor.
FAQs
What must a registered valuer's report contain?expand_more
Rule 8(3) lists twelve items: background of the asset, purpose and appointing authority, identity of valuer and experts, interest or conflict, the three dates, inspections, information sources, procedures and standards, restrictions on use, major factors, conclusion, and caveats.
What is the difference between valuation date and report date?expand_more
The valuation date is the date at which the value is estimated. The report date is when the report is signed. Information not available at the valuation date is usually not considered.
What is VRIN in a valuation report?expand_more
The Valuation Report Identification Number, which a registered valuer generates on IBBI's portal for each valuation under the IBC. Insolvency professionals must not accept such a report without it.
Can a valuer disclaim liability in the report?expand_more
No. Caveats may explain the limitations faced, but rule 8(3)(l) and the code of conduct bar using them to limit the valuer's responsibility, except for reliance on facts supplied by the company or its advisers or on public information.
Next steps
- RV Rules 2017arrow_forward
- Valuation Under IBCarrow_forward
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