Private ruling: Excepted person for the purpose of income tax legislation
Date of advice: 21 June 2019
Published: August 2019
Ruling period: Income year ending 30 June 20XX | Income year ending 30 June 20XX | Income year ending 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Are you an excepted person for the purposes of paragraph 102AC(2)(d) of the Income Tax Assessment Act 1936 (ITAA 1936)? | A1: Yes. Division 6AA of the ITAA 1936 imposes a higher rate of tax on 'eligible taxable income' derived by a person who is less than 18 years of age at the end of the year of income if they are not an 'excepted person'. An 'excepted person' is defined in subsection 102AC(2) of the ITAA 1936. If the Commissioner has received a certificate issued by a qualified medical practitioner certifying that the minor is a disabled child within the meaning of Part 2.19 of the Social Security Act 1991 on the last day of the income year, then they are an excepted person under paragraph 102AC(2)(d) of the ITAA 1936. A disabled child within the meaning of the Social Security Act 1991 is defined as a person aged under 16 who has a physical, intellectual or psychiatric disability and is likely to suffer from that disability permanently or for an extended period of time. You have supplied a medical certificate from a qualified medical practitioner certifying that you are a child under 16 years who is suffering a disability permanently or for an extended period of time. The Commissioner is satisfied that you are an excepted person under the subsection 102AC(2) of the ITAA 1936.

Relevant facts and circumstances: You are under 16 years of age for the period of this ruling. You were diagnosed with a medical condition that you will suffer from for the rest of your life. You have provided a medical certificate from a qualified medical practitioner certifying that you have a disability and that you meet the meaning of 'disabled child' within the meaning of Part 2.19 of the Social Security Act 1991 for the income year ending 30 June 20XX until 30 June 20XX.

Relevant legislative provisions: Income Tax Assessment Act 1936 Division 6AA | Income Tax Assessment Act 1936 Paragraph 102AC(2)(d) | Social Security Act 1991 Part 2.19