Tax Reform for National Economic Prosperity: Why Professional Valuation Matters

Each year on May 5th, estate surveyors and valuers around the world observe Valuation Day, a day dedicated to highlighting the vital role valuation plays in economic development. This year’s theme, “Tax Reform for National Economic Prosperity: Why Professional Valuation Matters,” calls attention to the indispensable contribution of accurate, professional asset valuation to Nigeria’s ongoing tax reform efforts and broader economic goals.

Why Professional Valuation is Critical

At the core of any effective tax system lies the accurate assessment of assets. Whether it’s for property taxes, capital gains, inheritance, or wealth distribution, the value placed on assets determines what is taxed and how much is due.

Unfortunately, in the absence of credible, professionally conducted valuations, governments risk revenue losses, unfair tax assessments, and weakened public trust. Professional valuers ensure that:

1. Assets are assessed fairly and transparently
2. Tax burdens are equitably distributed
3. Revenue projections are reliable for planning

Driving Economic Prosperity Through Tax Reform

Nigeria, like many developing economies, is working to reduce its reliance on oil revenues by strengthening its tax base. Achieving this requires not just new policies, but a solid foundation of accurate data—especially data about real estate, infrastructure, and other taxable assets.

Professional valuers provide this data by delivering certified reports that meet legal, ethical, and technical standards. Their expertise ensures that both the private sector and government institutions make informed financial and tax decisions.

The Legal Mandate of Registered Valuers

In Nigeria, asset valuation is not an open market activity—it is a regulated profession governed by the Estate Surveyors and Valuers Registration Board of Nigeria (ESVARBON). This legal framework exists to protect national economic interests and ensure valuations are done ethically, independently, and with professional competence.

Engaging unqualified individuals for valuation is not just unlawful—it undermines national reforms, introduces errors, and weakens investor confidence.

A Tool for National Progress

Beyond taxation, professional valuation supports key sectors like:

1. Public procurement and budgeting
2. Privatization and public asset management
3. Urban planning and infrastructure development
4. Investment and financial reporting

Each of these areas, if built on inaccurate asset values, is vulnerable to inefficiencies and corruption.

Conclusion

This year’s Valuation Day theme underscores a simple truth: there can be no sustainable tax reform without accurate valuation. As Nigeria continues its journey toward economic resilience and prosperity, estate surveyors and valuers remain central to the equation.

Professional valuation matters—not just to the real estate industry, but to every Nigerian who wants to see a more transparent, equitable, and prosperous nation.