Private ruling: Capital Gains Tax – Deceased Estate
Date of advice: 1 April 2019
Published: May 2019
Ruling period: Year ended 30 June 2019
Date scheme commenced: 1 July 2018

Ruling: Q1: Will the Commissioner exercise his discretion to extend the 2 year period under section 118-195 of the Income Tax Assessment Act 1997 for a residential property situated in Australia? | A1: Yes. Having considered your circumstances and the relevant factors, the Commissioner will allow an extension of time. Further information about this discretion can be found by searching 'QC 52250' on ato.gov.au

Relevant facts and circumstances: The deceased died some years ago, intestate. The residential property was purchased by the deceased after 2000. The property was used as the main residence of the deceased until the death of the deceased. The deceased’s child resided at the property from before the death of the owner until the sale of the property, with settlement more than 2 years after the date of death. Another relative made a claim against the estate which delayed the sale of the property.

Relevant legislative provisions: Income Tax Assessment Act 1997 Subsection 118-195(1).