Private ruling: Application of Primary Production Provisions
Date of advice: 18 June 2019
Published: August 2019
Ruling period: Year ended 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Will the Commissioner treat the 20XX financial year as a potential first year of averaging? | A1: Yes. Having considered your circumstances and the relevant factors, the Commissioner is satisfied that the interests were not acquired or granted wholly to use the averaging provisions. Further information about these provisions can be found by searching 'QC 16878' on ato.gov.au

Relevant facts and circumstances: A Trust operated a farming enterprise. An individual was the beneficiary of the Trust to the value of $X in a financial year. The beneficiary received the distribution to remunerate for the work they completed in the farming enterprise, an estimated ten hours per week for eight weeks in a financial.

Relevant legislative provisions: Income Tax Assessment Act 1997 subsection 392-20(2)