Private ruling: Deceased Estate
Date of advice: 10 October 2017
Published: March 2018
Ruling period: Year ended 30 June 2017 | Year ending 30 June 2018
Date scheme commenced: 1 July 2016

Ruling: Q1: Will the Commissioner exercise his discretion under subsection 118-195(1) of the Income Tax Assessment Act 1997 (ITAA 1997) and allow an extension of time to the two year period? | 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. Further information on the relevant factors and inheriting a dwelling generally can be found on your website ato.gov.au by entering Quick Code QC52250 into the search bar on the top right of the page.

Relevant facts and circumstances: The deceased purchased a property located in State A (the property). The property was the deceased’s main residence until they passed away in 20XX. Probate was issued in late 20XX. The Estate comprised solely of the deceased main residence. The property was purchased pre CGT and was not used to derive assessable income. Executor A’s family member passed away after long term care. This required providing support to other family members during this time. Executor B was diagnosed with a terminal illness and passed away late 20XX. The property has been sold with a settlement date late 20XX.

Relevant legislative provisions: Income Tax Assessment Act 1997 subsection 118-195(1)