Private ruling: Deceased Estate extension
Date of advice: 2 December 2019
Published: March 2020
Ruling period: Year ending 30 June 2013 | Year ending 30 June 2014 | Year ending 30 June 2015 | Year ending 30 June 2016 | Year ending 30 June 2017 | Year ending 30 June 2018 | Year ending 30 June 2019
Date scheme commenced: 1 July 2012

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 ? | 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 30 June 2019. Further information on the relevant factors and inheriting a dwelling generally can be found on our website ato.gov.au and entering Quick Code QC52250 into the search bar at the top right of the page.

Relevant facts and circumstances: The deceased passed away in 201X. A caveat was imposed on the decease's main residence by a trustee in bankruptcy. Finalisation of the estate was delayed by family provision proceeding's, with various claims and appeals. Family provision proceedings were completed in the middle of 201Y. The trustee in bankruptcy bought proceedings for revocation of the grant of probate. The trustee in bankruptcy lodged an order for the grant of probate to be deposited with the Supreme Court. The lodgement with the Supreme Court stopped the executor from transferring the title of the estate upon the sale of the property. In late 201Y the trustee in bankruptcy consented to the registration of the transmission application, this occurred early in 201Z. Contract for sale was signed shortly after, and was followed closely by settlement in early 201Z

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