Private ruling: CGT - small business concessions - active asset
Date of advice: 20 March 2020
Published: April 2020
Ruling period: Year ended 30 June 2020
Date scheme commenced: 1 July 2019

Ruling: Q1: Is your remainder interest in the land an active asset under section 152-40 of the Income Tax Assessment Act 1997? | A1: Yes. Your remainder interest in the subject land is an active asset as the land was used by an entity connected with you in the course of carrying on a business and the main use of the land wasn't to derive rent. Further information on active assets can be found by searching 'QC 52272' on ato.gov.au

Relevant facts and circumstances: You were granted a remainder interest in a piece of land. During the current income year, an entity that is connected with you carried on its business on the land. You do not conduct a business in your own right. The land is not being used for rent or agistment purposes. It is proposed that you will dispose of your remainder interest.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 152-40