Private ruling: Capital Gains Tax – deceased estate – extension of time
Date of advice: 3 October 2017
Published: February 2018
Ruling period: Year ended 30 June 2018
Date scheme commenced: 1 July 2017

Ruling: Q1: Will the Commissioner exercise his discretion under subsection 118-195(1) of the Income Tax Assessment Act 1997 (ITAA 1997) and allow an extension of time to the two year period? | 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. 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 June 20XX. The deceased held a property (the property) which was the deceased’s main residence and was not used to produce assessable income. The property was purchased prior to 25 September 1965. The deceased had changed their name prior to purchasing the property however the name change was not registered. The name on the title deed for the property is the same name the deceased used prior to the change of name. The Will had been signed by the deceased in two different names which caused delays in granting Probate. Probate was grated in May 20XX and the property was sold and settlement had occurred in September 20XX.

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