Private ruling: Commissioner's discretion under subsection 118-195(1) of the Income Tax Assessment Act 1997
Date of advice: 28 November 2019
Published: February 2020
Ruling period: 1 July 2018 to the 30 June 2019
Date scheme commenced: 1 July 2015

Ruling: Q1: Will the Commissioner exercise the discretion to subsection 118-195(1) of the Income Tax Assessment Act 1997 by way of an extension? | A1: Yes, the extension is granted under the discretion at subsection 118-195(1) of the ITAA1997 .

Relevant facts and circumstances: The property was the deceased's main residence in 20XX at the time of passing. A sale agreement was made with a family member at the time of the deceased passing which was reasonable, convenient and likely to be timely. Events out of the parties control unexpectedly delayed the family member from being able to purchase the estate. Once the delay to finances was over, the sale of the estate occurred immediately. If not for the unexpected delays outside of the party's' control, the sale of the estate would have occurred within the two year period.

Relevant legislative provisions: Subsection 118-195(1) of the ITAA 1997.