Private ruling: CGT - deceased estate
Date of advice: 23 April 2021
Published: June 2021
Ruling period: Year ended 30 June 20XX
Date scheme commenced: DD/MM/YYYY

Ruling: Q1: Will the Commissioner allow an extension of time to DD/MM/20XX for you to dispose of your ownership interest in the dwelling (the property) and disregard the capital gain you made on the disposal? | A1: Yes. Having considered the circumstances and the relevant factors the Commissioner will allow an extension of time.

Relevant facts and circumstances: The deceased passed away on DD/MM/YYYY. The deceased acquired their interest in the property after 20 September 1985. The property was the main residence of the deceased during their ownership period. The deceased did not use the property to derive assessable income. In MM/YYYY, the executors engaged a real estate agency to sell the property. On DD/MM/YYYY, a beneficiary of the deceased's estate lodged a caveat on the property. The caveat on the property caused significant delays in the administration of the estate and sale of the property. The conduct of the legal representative for the beneficiary caused significant delays in the administration of the estate. Probate for the estate was granted on DD/MM/YYYY. Following the grant of probate, the beneficiary lodged another caveat over the property. In MM/YYYY, a contract of sale was signed for the property while the caveat was still in place. On DD/MM/YYYY, on application by the executors, the caveat was removed and the executors were named as registered proprietors of the property. On DD/MM/YYYY settlement occurred.

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