Private ruling: Small business CGT replacement asset - extension of time
Date of advice: 11 May 2022
Published: July 2022
Ruling period: Year ending 30 June 20AA
Date scheme commenced: 7 April 20XX

Ruling: Q1: Will the Commissioner exercise discretion under subsection 104-190(2) of the Income Tax Assessment Act 1997 (ITAA 1997) to extend the small business capital gains tax (CGT) replacement asset period to 7 January 2023? | A1: Yes, having considered your circumstances and the relevant factors, the Commissioner will use discretion to grant you further time to extend the replacement asset period pursuant to subsection 104-190(2) of the Income Tax Assessment Act 1997 in respect of the small business CGT replacement asset rollover relief.

Relevant facts and circumstances: You had a capital gains tax event in the 20AA income year. The CGT event resulted in a capital gain to which you applied the roll over concession under small business roll-over, subdivision 152E of the Income Tax Assessment Act 1997 . Your two year period to acquire a replacement asset ceases on X Axxx 20AA. Due to the COVID19 pandemic, you were unable to meet with prospective partners to present business proposals and complete negotiations.

Relevant legislative provisions: Income Tax Assessment Act 1997 S ection 104-190 | Income Tax Assessment Act 1997 Section 152-10