Private ruling: CGT- deceased estate - two-year discretion
Date of advice: 18 March 2021
Published: May 2021
Ruling period: Year ended 30 June 20XX
Date scheme commenced: 1 June 20XX

Ruling: Q1: Will the Commissioner allow an extension of time for the Estate to disregard the capital gain or capital loss made on the disposal of the deceased's main residence? | A1: Yes. Having considered your circumstances and the relevant factors, the Commissioner will allow an extension of time. Further information about this discretion can be found by searching 'QC 52250' on ato.gov.au.

Relevant facts and circumstances: The deceased was the owner of a dwelling. The dwelling was the deceased's main residence until the date of death. The deceased passed away in 20XX. The deceased's relative was living at the dwelling at the time the deceased passed away. Probate was granted in 20XX. The deceased's relative occupied the dwelling for a period of time after the deceased passed away. The executor sought legal advice to take possession of the dwelling which took time to resolve. The Estate placed the dwelling on the market as soon as practicable and settlement occurred soon after.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 104-10 | Income Tax Assessment Act 1997 section 118-195