Private ruling: Capital gains tax
Date of advice: 7 November 2017
Published: March 2018
Ruling period: Year ended 30 June 2017
Date scheme commenced: 1 July 2016

Ruling: Q1: Will the Commissioner exercise his discretion under subsection 118-195(1) of the Income Tax Assessment Act 1997 (ITAA 1997) and allow an extension of time to the two year period to June 20XX? | A1: Yes Having considered your circumstances and the relevant factors, the Commissioner is able to apply his discretion under subsection 118-195(1) of the ITAA 1997 and allow an extension of time until June 20XX. Further information on the relevant factors and inheriting a dwelling generally can be found on our website ato.gov.au and entering Quick Code QC17195 into the search bar at the top right of the page.

Relevant facts and circumstances: You and your sibling are the sole beneficiaries of your parents estate who passed away in August 20XX. Your parent left you and your sibling a house. A grant of probate was applied in December 20XX and granted in January 20XX. A surveyor was engaged in December 20XX. The survey was mainly completed in February 20XX although difficulties were experienced in finalising issues relating to it. Your sibling lived with your parent up until their death and you both agreed they would purchase the property from the estate. You signed the form to transfer your share of the property to your sibling in June 20XX.

Relevant legislative provisions: Income Tax Assessment Act 1997 Section 118-195