Private ruling: CGT - vacant land
Date of advice: 6 June 2024
Published: 22 July 2024
Ruling period: Year ended 30 June 20YY
Date scheme commenced: 1 July 20YY

Ruling: Q1: Is the vacant land a pre-Capital gains Asset (CGT) asset and therefore not subject to CGT upon its sale? | A1: Yes. Based on the information provided to the Commissioner the vacant land is a pre-CGT asset. The Commissioner is satisfied that the deceased acquired the property prior to 20 September 1985 and is therefore a pre-CGT asset and no CGT is payable upon the sale of the property.

Relevant facts and circumstances: The deceased passed away a few years go. The deceased acquired vacant land in Australia prior to 20 September 2019. The deceased intended to build a dwelling on the vacant land but never did this. The vacant land was used by the deceased as a garden. The deceased lived in Australia as a permanent resident for several years. At the end of their time in Australia deceased went back to Country Z to care for their parents and never returned to Australia prior to passing away.

Relevant legislative provisions: Income Tax Assessment Act section 104-10