Private ruling: Capital gains tax - deceased estate - shares
Published: September 2012
Ruling period: Year ended 30 June 2013
Date scheme commenced: 1 July 2012

Ruling: Q1: Are the shares acquired prior to 20 September 1985? | A1: Yes.


Relevant legislative provisions: Income Tax Assessment Act 1997 Section 104-10 | Income Tax Assessment Act 1997 Section 128-15

Reasons for decision: Summary: If you acquire an asset owned by a deceased person as their legal personal representative or beneficiary under the capital gains tax (CGT) provisions, you are taken to have acquired the asset on the day the person died. If that was before 20 September 1985, you disregard any capital gain or capital loss made from the asset. In your case, as your parent had acquired the shares prior to 20 September 1985, they are pre CGT shares in accordance with the CGT provisions.

Please check this edited version to be sure that there are no details remaining that you think may allow you to be identified. If you have any concerns about this ruling you wish to discuss, you will find our contact details in the fact sheet. | Relevant facts: Your parent passed away prior to 20 September 1985 without leaving a will. | You are the only beneficiary to the estate of your late parent. | Your parent owned shares in a company which were acquired prior to 20 September 1985. | An annual return completed prior to 20 September 1985 of the company states that the shares were held by the estate of your late parent. | An annual return completed after 20 September 1985 of the company shows that the shares held by the estate of your late parent had been transferred to you.