Private ruling: Small business concessions
Date of advice: 30 June 2021
Published: September 2021
Ruling period: Year ended DD MM YYYY
Date scheme commenced: DD MM YYYY

Ruling: Q1: Will the Commissioner exercise discretion under subsection 152-80(3) of the Income Tax Assessment Act 1997 (ITAA 1997) and extend the two-year period to DD MM YYYY? | A1: Yes. Having considered the circumstances and factors, the Commissioner will exercise discretion under subsection 152-80(3) of ITAA 1997 and extend the two-year period to DD MM YYYY. For further information visit ato.gov.au and search for 'QC 52292'.

Relevant facts and circumstances: Person A and Person B acquired a farm as a partnership. Person A and Person B used the farm for income producing purposes. Person A passed away. Person A had a Will and Person B was appointed Executor of the Will. Probate (of the Will) was not required and the farm was transferred to Person B on a survivorship basis. Person B ensured the farm was available for sale as soon as possible however received a lack of interest due to COVID-19 and the social and economic effects on the market. Person B sold the farm in the 20xx/xx financial year however there are water rights attached to the farm which cannot be released until the 20xx/xx financial year. The deceased would have met the conditions for the small business concessions just prior to their death.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 152-80(3)