Private ruling: Capital gains tax
Date of advice: 3 July 2019
Published: September 2019
Ruling period: Year ending 30 June 2020
Date scheme commenced: 1 July 2019

Ruling: Q1: Will the capital gain you make when you dispose of your capital gains tax assets be disregarded? | A1: Yes. As they are personal use assets in accordance with subsection 108-20(2)of the Income Tax Assessment Act 1997, and you acquired them for less than $10,000 each, any capital gain or loss you make upon disposal will be disregarded. Further information about personal use assets can be found by searching 'QC 22163' on ato.gov.au

Relevant facts and circumstances: Your late relative gifted to you a number of capital gains tax assets. They did this over a number of years beginning when you were a small child before 20 September 1985, for birthdays and other significant events like anniversaries. Some of the gifts were given to you after 20 September 1985. You held the assets for your personal use and enjoyment. You are not an investor. You intended to keep them indefinitely however for financial reasons you need to sell the items and will be doing so within the period of this ruling.

Relevant legislative provisions: Income Tax Assessment Act 1997 subsection 108-20(2) | Income Tax Assessment Act 1997 subsection 118-10(3)