Private ruling: Capital gains tax – extending two year period
Date of advice: 29 June 2017
Published: November 2017
Ruling period: 30 June 2017
Date scheme commenced: 1 July 2016

Ruling: Q1: Will the Commissioner exercise the discretion under subsection 118-195(1) of the Income Tax Assessment Act 1997 (ITAA 1997) and allow an extension of time until settlement date? | 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 our website ato.gov.au and entering Quick Code QC17195 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. Your relative died in 20XX. You inherited a dwelling from your relative’s estate. The death certificate was issued more than six months after your relative’s death. You were not able to access the dwelling or the property due to delay in obtaining the death certificate. This meant you were not able to put the dwelling on the market within a practicable time frame. This delay has caused the administration of your relative’s estate not to be completed within the two years from their date of death. The property was placed on the market as soon as practicable and settled in 2017.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 104-10, | Income Tax Assessment Act 1997 section 118-195 and | Income Tax Assessment Act 1997 subsection 118-195(1).