Private ruling: Capital gains tax and a deceased estate – the Commissioner’s discretion to extend the two year period for disposal of a main residence.
Date of advice: 31 October 2018
Published: February 2019
Ruling period: Year ended 30 June 2018 | Year ending 30 June 2019
Date scheme commenced: 1 July 2017

Ruling: Q1: Will the Commissioner allow an extension of time to XX XXX 2018 for you to dispose of your ownership interest in the dwelling and disregard the capital gain or loss you make on the disposal? | 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 property in question was the residence of the deceased who purchased the property in 19XX and lived in it until the date of death in 2016. An executor was hampered in undertaking the work involved to get the property sold because of medical issues. The property has never been used to produce assessable income. The dwelling is on land of less than 2 hectares. The property was sold shortly after the expiry of the two year period.