Private ruling: Excepted person
Date of advice: 22 March 2023
Published: 15 May 2023
Ruling period: Income year ended 30 June 20YY
Date scheme commenced: XX July 20YY

Ruling: Q1: Is the minor beneficiary who has been diagnosed with a permanent disability an "excepted person" for the purpose of section 102AC of the Income Tax Assessment Act 1936 (ITAA 1936)? | A1: Yes. You have supplied a medical certificate from a qualified medical practitioner certifying that the minor beneficiary, a child under 16 years, is suffering a permanent disability within the meaning of Part 2.19 of the Social Security Act 1991 . Accordingly, the Commissioner is satisfied that the minor beneficiary is an excepted person under section 102AC of the ITAA 1936.

Relevant facts and circumstances: The trust is a discretionary trust. Person A was born on XX March 20YY and is a beneficiary of the trust. Person A suffers from a permanent disability. The trustees of the trust have made a distribution to Person A. A paediatrician has supplied a letter dated XX February 20YY which states Person A qualifies as a disabled child within the meaning of Part 2.19 of the Social Security Act 1991 .

Relevant legislative provisions: Income Tax Assessment Act 1936 - Section 102AC