Private ruling: Commissioner's discretion - deceased estate
Date of advice: 27 January 2026
Published: 30 March 2026
Ruling period: Year ending 30 June 20YY
Date scheme commenced: DD MM 20YY

Ruling: Q1: Will the Commissioner exercise the discretion under section 118-195 of the Income Tax Assessment Act 1997 (ITAA 1997) to allow an extension of time for you to dispose of your ownership interest in the dwelling and disregard the capital gain or capital loss you made on the disposal? | A1: Yes. Having considered your circumstances and the relevant factors the Commissioner will allow an extension of time. Further information about the Commissioner's discretion can be found by searching ato.gov.au for 'QC 66057'.

Relevant facts and circumstances: On DD MM 20YY, the deceased acquired a property located at XXX XXX (the property). On DD MM 20YY, the deceased passed away. The property is less than 2 hectares in size. The property was the deceased's main residence just before their passing. The property was never used for the purpose of producing income during the deceased's ownership. On DD MM 20YY, Probate was granted to the deceased's son. Within the deceased's will was a right to occupy the property given to the deceased's husband. The deceased's husband continued to live in the property until they passed away on the DD MM 20YY. On the DD MM 20YY, the property was listed for sale. The property was sold by the executors of the estate. On DD MM 20YY, the property had a signed contract. On DD MM 20YY, the property settled.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 118-195