Private ruling: Deceased estate and the capital gains tax (CGT) main residence
Date of advice: 11 October 2017
Published: February 2018
Ruling period: Year ending 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Will the capital gain or loss you make from the sale of your property be disregarded under section 118-195 of the Income Tax Assessment Act 1997 (ITAA 1997)? | A1: Yes. Having considered your circumstances and the relevant factors in subsection 118-195(1) of the ITAA 1997, the Commissioner is satisfied that one of the items in column 2 and one of the items in column 3 have been met. Further information on the relevant factors and inheriting a dwelling generally can be found on our website ato.gov.au and entering Quick Code QC52250 into the search bar at the top right of the page.


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


The Deceased passed on 19XX. | The Deceased owned a property purchased before 20 September 1985 that was their main residence prior to their passing. | Letters of Administration were granted to Individual A and they were appointed Administrator and Trustee of the estate on 20XX. | An application was lodged in the Relevant Court for a family provision claim by one of the Deceased’s children. | The Child had lived with the Deceased prior to their passing and continued to live in the property until 20XX. | An order of the Relevant Court was made on 20XX that the Child has a right to occupy the property from 19XX to 20XX and that the order be attached to the Letters of Administration. | A contract for sale of the property was entered into which settled on 20XX.