Private ruling: Small business CGT concessions
Date of advice: 20 August 2021
Published: October 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'. Further Information to Consider We have limited our ruling to the question raised in your application being whether an extension of time will be granted. The private ruling on whether an extension of time will be granted was issued on this basis, that is, the Commissioner did not consider whether the client was in fact entitled to the small business CGT concessions. For further information visit ato.gov.au and search for 'QC 22165'.

Relevant facts and circumstances: The Deceased operated a business on a farm. The Deceased had a Will and appointed two Executors (the Executors). The Executors lived interstate and were required to travel to conduct the maintenance and sale of the farm. There was an extended delay in acquiring Probate and having the Title Deeds transferred. Upon the advice of financial counsellors, the Executors leased part of the farm to be maintained and personally maintained the remainder of the farm. COVID-19 delayed the sale of the farm specifically due to lockdowns, travel restrictions and border closures. The farm was sold which resulted in a capital gain.

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