Private ruling: Capital gains tax (CGT) small business active asset test
Date of advice: 26 July 2018
Published: September 2018
Ruling period: Year ended 30 June 2018
Date scheme commenced: 1 July 2009

Ruling: Q1: Does the Property pass the active asset test in section 152-35 of the Income Tax Assessment Act 1997? | A1: Yes. Having considered the facts and circumstances of your case, the Commissioner views that as you owned the Property for more than 15 years and it was used in a business of an entity that you were connected with for at least 7.5 years, that it has met the active asset test in section 152-35 of the ITAA 1997. Information about the active asset test can be found on our website ato.gov.au , by entering Quick Code QC52271 into the search bar at the top right of the page.

Relevant facts and circumstances: You owned a Property for more than 15 years. You were connected to a business that utilised the Property for at least 7.5 years.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 152-35 | Income Tax Assessment Act 1997 section 152-40 | Income Tax Assessment Act 1997 section 328-125