Private ruling: Income tax - capital gains tax - Commissioner's discretion to extend the two year period
Date of advice: 2 April 2020
Published: May 2020
Ruling period: Year ended 30 June 2020
Date scheme commenced: 1 July 2019

Ruling: Q1: Will the Commissioner allow an extension of time for you to dispose of your ownership interest in the dwelling and disregard the capital gain you make on the disposal? | A1: Yes. Having considered your circumstances and the relevant factors, the Commissioner will allow an extension of time. Further information about this discretion can be found by searching 'QC 52250' on ato.gov.au

Relevant facts and circumstances: The deceased passed away. The deceased was the beneficiary of a property. The property was the deceased's main residence at time of death and the land size is less than two hectares. The deceased passed away intestate, they had no spouse or any children. State Trustees Limited (STL) was referred this estate on xx xxx xxxx. STL immediately started securing and ascertaining the assets of the estate and commenced the process of ascertaining next of kin. STL were granted Letters of Administration. Due to the complexity of the estate relating to the inheritance of the property it was not until xx xxx xxxxx that STL were able to move forward with the sale of the property. A contract of sale for the property was signed on xx xxx xxxx with settlement occurring on xx xxx xxxx

Relevant legislative provisions: Income Tax Assessment Act 1997 subsection 118-195(1)