Private ruling: CGT - deceased estates - 2 year discretion
Date of advice: 4 August 2022
Published: November 2022
Ruling period: Year ending 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Will the Commissioner allow an extension of time for you to dispose of your ownership interest in the dwelling and disregard the capital gain or loss you made on the disposal? | A1: Yes. Having considered your circumstances and the relevant factors the Commissioner will allow an extension of time. Further information about the Commissioner's discretion can be found by searching ato.gov.au for 'QC 66057'.


Relevant legislative provisions: Income Tax Assessment Act 1997 section 118-195 | Income Tax Assessment Act 1997 subsection 118-120(3)


Relevant facts: The deceased passed away on XX XX XX. | The deceased acquired an ownership interest in the dwelling prior to 20 September 1985 with their late spouse. | The spouse passed away passed away in 19XX and the deceased became the sole surviving owner. | The dwelling was the main residence of the deceased throughout their ownership period. | The dwelling has never been used to produce assessable income. | The land area is less than X hectares in size. | The deceased's Will provided their children Person A, Person B and Person C a right to reside in the dwelling during their lifetime and pay all rates, taxes and other outgoings until one or more of the children wish to sell the property. | The children continued to reside in the dwelling until Person A passed away in 20XX and Person B moved into a nursing home in early 20XX. Person C has recently passed away. | Person C continued to live in the dwelling as their main residence until XX XX 20XX when they passed away. | The dwelling was prepared for sale and placed on the market for sale. | Settlement for the sale occurred recently.