Private ruling: Capital gains
Date of advice: 17 April 2019
Published: June 2019
Ruling period: Year ending 30 June 2019
Date scheme commenced: 1 July 2018

Ruling: Q1: Will the Commissioner allow an extension of time to XX XXX 20XX 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 has been the principal place of residence of deceased from the original date of purchase up until their death. The Child lived with the deceased in the property for most of the same period and he continued to live in it as their personal home with oversight from the siblings who were executors for the deceased’s estates. The Child has a mental incapacity. The will for deceased who was the last surviving spouse appointed a third party guardian (Equity Trustees) for the child’s inheritance share. Significant time delays were caused dealing with Equity Trustees as they would not agree to release funds for the child to purchase a property in their own right until all other matters were resolved which took until circa end of June 20XX. The property was sold on XX XXX 20XX.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 118-195