Private ruling: Small business replacement asset
Date of advice: 26 November 2018
Published: March 2019
Ruling period: Year ended 30 June 2017 | Year ended 30 June 2018 | Year ending 30 June 2019
Date scheme commenced: 1 July 2016

Ruling: Q1: Will the Commissioner exercise his discretion under section 104-190(2) of the Income Tax Assessment Act 1997 (ITAA 1997) to extend the replacement asset period? | A1: Yes. Having regard to your full circumstances and the acceptable explanation of the steps you have taken to acquire a replacement asset, the Commissioner considers it would be fair and equitable for the purposes of section 104-185(1) of the ITAA 1997. Further information on the small business rollover can be found on by searching ‘QC52291’ on ato.gov.au.

Relevant facts and circumstances: You operated two businesses for approximately six years. The businesses were sold in 20XX. Since the sale of the business, appropriate steps have been taken to acquire a replacement asset. This commenced in 20XX and was delayed due to factors outside of your control. It is expected this replacement asset will be completed by year ending 30 June 20XX.

Relevant legislative provisions: Income Tax Assessment Act 1997 Subdivision 152-A | Income Tax Assessment Act 1997 Subdivision 152-E | Income Tax Assessment Act 1997 Subsection 104-185(1) | Income Tax Assessment Act 1997 Subsection 104-190(2) | Income Tax Assessment Act 1997 Section 104-197 | Income Tax Assessment Act 1997 Section 104-198