Private ruling: CGT - disposal
Date of advice: 5 March 2020
Published: April 2020
Ruling period: Income year ending 30 June 2020
Date scheme commenced: 1 July 2019

Ruling: Q1: Are you entitled to claim both the 50% general CGT discount as well as the 50% small business CGT discount on disposal of your asset? | A1: Yes. Based on the facts you have supplied, you are entitled to claim both the 50% general CGT discount as well as the 50% small business CGT discount on disposal of your asset.

Relevant facts and circumstances: You are a primary producer. You own and operate a property. The previous owners of your property acquired an asset decades before you acquired the property. You need to establish what the cost base of the asset was when you purchased the property but do not have any documentation regarding the value of the asset. The asset was connected to the property deed and was automatically transferred with the sale of the property and was not identified as a separate asset. You disposed of the asset in the income year. You received $X.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 104-10 | Income Tax Assessment Act 1997 section 112-25 | Income Tax Assessment Act 1997 section 115-100 | Income Tax Assessment Act 1997 paragraph 108-5(1)(b) | Income Tax Assessment Act 1997 section 152-10 | Income Tax Assessment Act 1997 section 152-35 | Income Tax Assessment Act 1997 section 152-40 | Income Tax Assessment Act 1997 section 152-205