Description of the Asset Which Is the Subject of a Valuation Report

It is required that the asset with which a valuation report is concerned, whether tangible, intangible, real, or personal, be fully described therein, the elements of such description being: (a) identification, (b) legal rights and restrictions encompassed in the ownership, where these are not obvious, (c) value characteristics, and (d) physical condition, where applicable. 

Statement of the purposes of the Valuation Work

It is required that a valuation report include a statement of the purposes for which the work was performed: to determine a value, to estimate a cost, to forecast an earning power, to ascertain certain facts to reach conclusions and make recommendations for action in specified matters, etc. 

It is required that the meaning attached by the valuer to any specific kind of value or estimated cost which is the purpose of the valuation undertaking be described and explained in the valuation report.

It is required that a valuation report include a statement as to the date which applies to the value estimate, cost estimate or forecast of income.

When appropriate, an analysis of the highest and the best use of the asset should be included in the investigation and study.

Statement of the Contingent and Limiting Conditions to Which the Valuation Findings Are Subject

It is required that statements, information, and/or data, which were obtained by the valuer from members of other professions, or official or other presumably reliable sources, and the validity of which affects the valuation findings, be summarized or stated in full in the valuation report and the sources given, so that verification desired by any user of the report may be accomplished.

If a valuation is a hypothetical one, it is required that it be labeled as hypothetical, that the reason a hypothetical valuation was made be stated, and that the assumed hypothetical conditions be set forth. 

If a valuation is a fractional valuation, it is required that it be labeled as fractional and that the limitations on the use of the reported figure be stated.

If a preliminary valuation report is issued, namely, one in which the figures are subject to refinement or change, it is required that the report be labeled as preliminary and that the limitation on its use be stated. 

Description and Explanation in the Valuation Report of the Valuation Method Used

It is required that the method selected by the valuer as applicable to the subject valuation undertaking be described and explained in the valuation report.

Statement of the Valuer's Disinterestedness

It is required that the valuer include a statement in his valuation report that he has no present or contemplated future interest in the subject asset or any other interest which might tend to prevent his making a fair and unbiased valuation or, if he does have such an interest, to set forth fully the nature and extent of that interest.

Valuers Responsibility to Communicate Each Analysis, Opinion and Conclusion in a Manner that is not Misleading.

The valuer should state in each report "I hereby certify that, to the best of my knowledge and belief, the statements of fact contained in this report are true and correct, and this report has been prepared in conformity with the Principles of Valuation Practice and Code of Ethics of the Practising Valuers Association (India)"

Signatures to Valuation Reports and the Inclusion of Dissenting Opinions

It is required that the party who makes the valuation or who has the valuation made under his supervision sign the valuation report.

It is required that all collaborating valuers, issuing a joint report, who agree with the findings, sign the report, and that any collaborating valuer who disagrees with any or all of the findings of the others, prepare, sign, and include in the valuation report his dissenting opinion.