General Value Shifting

Value shifts alter the relationship between an asset's market value and tax value. Most value shifts happen when dealings or transactions between two parties are not at market value and result in the value of one asset decreasing and (usually) another asset increasing.

Where the General Value Shifting Regime (GVSR) applies, you may need to adjust the tax values of interests affected by the value shift, or adjust a realised loss or gain. In some cases there may be an immediate capital gain.

Value shifts occur in the form of:

• indirect value shifting
• direct value shifts on interests
• direct value shifts by creating rights

These shifts are all explained in the Guide to general value shifting regime available at the ATO website.

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