Private ruling: Commissioner's discretion - 2-year exemption
Date of advice: 18 September 2025
Published: 17 November 2025
Date scheme commenced: 1 July 20XX

Ruling: Q1: Will the Commissioner exercise the discretion under section 118-195 of the Income Tax Assessment Act 1997 to allow an extension of time for you to dispose of your ownership interest in the dwelling and disregard the capital gain or capital loss you made on the disposal? | A1: Yes. Having considered your circumstances and the relevant factors the Commissioner will allow an extension of time. Further information about the Commissioner's discretion can be found by searching ato.gov.au for 'QC 66057'. This private ruling applies for the following period Year ended 30 June 20XX Year ending 30 June 20XX The scheme commenced on: 1 July 20XX


Relevant legislative provisions: Income Tax Assessment Act 1997 section 118-195


Relevant facts: The deceased passed away. | The deceased owned a dwelling. (The dwelling). | The dwelling was acquired prior to 20 September 1985. | The land size is less than 2 hectares. | The deceased was survived by two children, Child A and Child B. | Child A was appointed executor in the Will of the deceased. | Child A resided in the dwelling. | Child A did not take proper steps as executor to obtain a grant of probate and after numerous unsuccessful attempts by Child B to prompt Child A to take action, Child B was compelled to commence legal proceedings to have an independent administrator appointed. The legal proceedings commenced on XX XX 20XX. | On XX XX 20X an application for letters of administration with the Will annexed was lodged. | Orders were made by the court for Child A to vacate the dwelling which they complied with around XX XX 20XX. | On XX XX 20XX the grant of administration with the Will annexed was issued. | The dwelling was prepared for sale with some cleaning and maintenance required. | The dwelling was sold at auction on XX XX 20X and settlement took place on XX XX 20X.