Private ruling: CGT - deceased estates
Date of advice: 29 June 2022
Published: December 2022
Ruling period: Year ending 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 or loss you made on the disposal? | A1: Yes. Having considered your circumstances and the relevant factors the Commissioner will allow an extension of time. Further information about the Commissioner's discretion can be found by searching ato.gov.au for 'QC 66057'.


Relevant legislative provisions: Income Tax Assessment Act 1997 section 118-195 | Income Tax Assessment Act 1997 subsection 118-120(3)


Relevant facts: The deceased passed away on XX XX 20XX. | The deceased inherited the ownership interest in the dwelling prior to 20 September 1985. | The dwelling was the main residence of the deceased throughout their ownership period. | The dwelling has never been used to produce assessable income. | The land area is less than 2 hectares in size. | The deceased's Will provided their child, child A a right to reside in the dwelling during their lifetime while they were, in the opinion of the Trustee residing permanently in the dwelling. | The Will further stated that on the termination of the right to reside, the dwelling should form part of the residue of the estate. | Child A relinquished their right to reside on XX XX 20XX when they moved into an aged care facility. | The Trustee then began the process to prepare the dwelling for sale. | The dwelling was listed for sale a short time later. | The sale contract for the dwelling was signed on XX XX 20XX and settlement occurred on XX XX 20XX.