Private ruling: Superannuation contributions – CGT small business 15-year exemption
Date of advice: 23 January 2019
Published: May 2019
Ruling period: Year ending 30 June 2019
Date scheme commenced: 1 July 2018

Ruling: Q2: Will the in-specie contribution of property made to a complying superannuation fund that exceeds your CGT cap amount when the contribution is made count as your non-concessional contribution under section 292-90 of the ITAA 1997? | A2: Any amount of in-specie contribution of property made to a complying superannuation fund that exceeds your CGT cap amount when it is made will not come under section 292-100 of the ITAA 1997. Therefore, it will count as your non-concessional contribution for the relevant financial year.

Relevant facts and circumstances: This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling. You and your partner purchased a factory (the Property) in 19XX in joint names. You are over 55 years of age. The Property was used by a small business entity, from 20XX to 20YY, a period in excess of 15 years. You and your partner intend to make an in-specie contribution of the Property to a complying self-managed superannuation fund. Your tax agent has advised that you meet the basic conditions for relief in section 152-10 of the ITAA 1997 and you are eligible for the small business 15-year exemption under section 152-105 of the ITAA 1997.

Relevant legislative provisions: Income Tax Assessment Act 1997 Section 152-105 | Income Tax Assessment Act 1997 Section 292-80 | Income Tax Assessment Act 1997 Section 292-90 | Income Tax Assessment Act 1997 Section 292-100 | Income Tax Assessment Act 1997 Subsection 292-100(1) | Income Tax Assessment Act 1997 Subsection 292-100(2)


Question 1: Where the CGT ‘small business 15-year exemption’ under section 152-105 of the Income Tax Assessment Act 1997 (ITAA 1997) applies, will the in-specie contribution of property made to a complying superannuation fund qualify as a contribution made under section 292-100 of the ITAA 1997 to the extent that it does not exceed your ‘CGT cap amount’ when it is made? | Answer 1: Where the CGT small business 15-year exemption applies, the in-specie contribution of property made to a complying superannuation fund will come under section 292-100 of the ITAA 1997 to the extent that it does not exceed your ‘CGT cap amount’ when it is made. As such, it will not be a non-concessional contribution for the purposes of section 292-90 of the ITAA 1997