Private ruling: Capital gains tax - deceased estate two year discretion
Date of advice: 18 May 2019
Published: July 2019
Ruling period: Year ended 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 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 was purchased prior to 20 September 1985. The property was used for income producing activities the whole time it was owned and after the deceased's passing. The deceased's child and three grandchildren were made executors to the deceased's estate. The will stipulated that each executor must be in a complete agreement on any decisions for the trust and any documents required all executors' signatures. One of the executors was diagnosed with a serious medical condition. The death of the deceased's spouse which left another estate with three executors (the grandchildren) to be prepared for probate. A beneficiary was diagnosed with a serious medical condition passed away. Probate finalised mth/20XX. The property was sold mth/20XX.

Relevant legislative provisions: Income Tax Assessment Act 1997 subsection 118-195(1)