Private ruling: Assessable income - trading stock
Date of advice: 27 October 2022
Published: 9 January 2023
Ruling period: Year ended 30 June 20XX | Year ended 30 June 20XX | Year ending 30 June 20XX
Date scheme commenced: 11 March 20XX

Ruling: Q1: Will the Commissioner grant an extension of time to The Executor of the estate of the late Person A to make a trading stock election under section 70-100(7) of the Income Tax Assessment Act 1997 (ITAA 1997)? | A1: Yes. The Commissioner will grant an extension of time to specified date. It is accepted that circumstances outside the control of the legal representatives prevented the trading stock election being made before a specified date.

Relevant facts and circumstances: The late Person A and Person B were partners in a primary production business with livestock. On a specified date Person A passed away. Person B is the beneficiary that inherited Person A's interest in the livestock and the executor of his estate. There was a delay in the probate documents being granted for Person B to take their role as the legal representative of Person A's estate. You provided us with details on the delay. Person B underwent two surgeries interstate. Probate documents were granted on a specified date.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 70-100