Private ruling: Small business concessions
Date of advice: 29 May 2021
Published: August 2021
Ruling period: Year ending DD MM YYYY
Date scheme commenced: DD MM YYYY

Ruling: Q1: Will the Commissioner exercise discretion under section 103-25(1)(b) of the Income Tax Assessment Act 1997 (ITAA 1997) to allow you, an extension of time to DD MM YYYY to make a choice to apply the small business concessions? | A1: Yes. There would be no prejudice to the ATO by allowing the extension. There is no mischief involved. The Commissioner considers it fair and equitable in these circumstances for an extension to be allowed. The Commissioner has granted an extension of time to make a valid choice.

Relevant facts and circumstances: You owned a commercial property and operated a small business out of the commercial property. You sold a commercial property and entered a leaseback agreement to continue operating the small business out of the commercial property. You made a capital gain and are eligible to apply the Small Business CGT Concessions under Division 152 of ITAA 1997. You intend to contribute the remaining capital gain to a superannuation fund and apply the Small Business Retirement Exemption.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 103-25(1)(b) | Income Tax Assessment Act 1997 Division 152-C | Income Tax Assessment Act 1997 Division 152-D