Private ruling: Capital gains tax – 2 year extension
Date of advice: 20 September 2017
Published: February 2018
Ruling period: 30 June 2018
Date scheme commenced: 1 July 2017

Ruling: Q1: Will the Commissioner exercise the discretion under subsection 118-195(1) of the Income Tax Assessment Act 1997 (ITAA 1997) and allow an extension of time until settlement date? | A1: Yes Having considered your circumstances and the relevant factors, the Commissioner is able to apply his discretion under subsection 118-195(1) of the ITAA 1997 and allow an extension of time until settlement date. Further information on the relevant factors and inheriting a dwelling generally can be found on our website ato.gov.au and entering Quick Code QC17195 into the search bar at the top right of the page.

Relevant facts and circumstances: Property was purchased in 1975 as the main residence and was not used to produce assessable income. The deceased passed away in mid 201X and probate was granted in late 201X. A Part IV claim was made against the deceased estate by a relative in early 201Y and the administration and disposal of the assets was delayed. This matter was resolved in late 201Y. The property was in disrepair and brought to a liveable condition to be placed on the market for sale in early 201Z. The property was sold at auction in early 201Z and an extended settlement period of 120 days was granted to mid 201Z.