Private ruling: Deceased estate and the capital gains tax (CGT) main residence exemption
Date of advice: 21 July 2017
Published: November 2017
Ruling period: Year ending 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Will the Commissioner exercise the discretion in section 118-195 of the Income Tax Assessment Act 1997 (ITAA 1997) and extend the main residence exemption to 20XX? | 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 20XX. 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: This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling. The deceased passed away on 20XX. They owned a property that was purchased after 20 September 1985, which was their main residence at the time they passed and has not been used for the purpose of producing assessable income. You and another family member were appointed as executors of their estate. Your spouse became ill and required several hospital visits and surgeries between 20XX and 20XX which prevented you from attending to the estate. The house required some repairs before it was in a condition to be sold. The house was contracted for sale on 20XX and settled on 20XX.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 118-195.