Private ruling: Compensation payment
Date of advice: 20 August 2019
Published: October 2019
Ruling period: Year ended 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Is the compensation payment you received exempt? | A1: Yes Under section 118-37 of the Income Tax Assessment Act 1997 , a capital gain or loss you make from a CGT event relating directly to any wrong, injury or illness you suffer personally is disregarded. For more information see Taxation Ruling 95/35 income tax: capital gains: treatment of compensation receipts.

Relevant facts and circumstances: The relevant documents form part of this ruling are: · the application for private ruling, and · the Deed of Settlement and Release. You raised a complaint to a Bank regarding a breach of privacy. The Bank offered you financial compensation of $XX,XXX.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 118-37