Private ruling: Capital Gains Tax – deceased estate – Commissioner’s discretion
Date of advice: 13 August 2018
Published: October 2018
Ruling period: 30 June 2018
Date scheme commenced: 1 July 2017

Ruling: A1: Yes. Having considered your circumstances and the relevant factors, the Commissioner is able to apply his discretion under subsection 118-195(1) of the ITAA 1997 and allow an extension of time until xx xxx xxxx. Further information on the relevant factors and inheriting a dwelling generally can be found on our website ato.gov.au and entering Quick Code QC 52250 into the search bar at the top right of the page.

Relevant facts and circumstances: This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling. The deceased, passed away on xx xxx xxxx. The deceased and their spouse acquired the property as joint tenants in xxx xxxx. Their spouse passed on xx xxx xxxx with the property passing to them under survivorship as a joint tenant. The deceased lived at the property until the date of their death. Probate was granted on xx xxx xxxx. After probate was granted the property was placed on the market. A number of buyers in succession reneged and delayed the sale process. There was also an unsuccessful auction and another potential buyer wished to delay the sale for an extended period. The contract for sale of the property was signed on xx xxx xxxx with settlement occurring on xx xxx xxxx. The property has never been used for income producing purposes.



Subject: Capital Gains Tax – deceased estate – Commissioner’s discretion: Will the Commissioner exercise his discretion under subsection 118-195(1) of the Income Tax Assessment Act 1997 (ITAA 1997) in relation to the dwelling and the land around the dwelling including the land on which it stands up to a maximum of two hectares and allow an extension of time until xx xxx xxxx?