Private ruling: Small business rollover and the Commissioner’s discretion for an extension of time to purchase a replacement asset.
Date of advice: 8 August 2018
Published: September 2018
Ruling period: Year ended 30 June XXXX | Year ended 30 June XXXX
Date scheme commenced: 1 July XXXX

Ruling: Q1: Will the Commissioner allow an extension of time under subsection 104-190(2) of the Income Tax Assessment Act 1997 (ITAA 1997) for you to acquire a replacement asset? | A1: Yes Having regard to your particular circumstances and the relevant factors the Commissioner considers it appropriate to grant an extension of the replacement asset period to XX/XX/XXXX. Further issues for you to consider This ruling is limited to a consideration of extending the replacement asset period. It has not fully considered your eligibility for the small business CGT concessions. Information about eligibility for the small business CGT concessions can be found on our website www.ato.gov.au and entering Quick Code QC52266 into the search bar at the top right of the page.

Relevant facts and circumstances: You sold a property used in your business on XX/XX/XXXX (contract date). You applied the small business roll-over to the capital gain made on the sale of the active asset (after applying the small business active asset reduction). Immediately after the sale of your property you started looking for a replacement property. You were in the process of acquiring a replacement property a number of times but these purchases fell through. You eventually acquired a replacement asset property on XX/XX/XXXX.

Relevant legislative provisions: Income Tax Assessment Act 1997 subsection 104-190(2)