Market Value

Tax Glossary Definition

Market Value

Represents the most probable price an asset would realize in an open and unbiased market, where both buyer and seller act knowledgeably and willingly. This value is commonly applied for assessing properties, securities, or other assets for taxation and valuation purposes. Example: When computing capital gains, the Fair Market Value (FMV) of a flat—say ₹50 lakh—is taken as the benchmark for valuation.

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