Private ruling: Deceased Estate
Date of advice: 31 July 2025
Published: 20 October 2025
Ruling period: Year ending DD MM YYYY
Date scheme commenced: DD MM YYYY

Ruling: Q1: Will the Commissioner exercise the discretion under section 118-195 of ITAA 1997 to allow an extension of time for you to dispose of your ownership interest in the dwelling and disregard the capital gain or capital loss you made on the disposal? | A1: Yes. Having considered your circumstances and the relevant factors the Commissioner will allow an extension of time. Further information about the Commissioner's discretion can be found by searching ato.gov.au for 'QC 66057'.

Relevant facts and circumstances: The deceased acquired the property in YYYY. The deceased passed away on DD MM YYYY. The property was the main residence of the deceased just before they passed away and was not used to produce assessable income at that time. The property was situated on less than two hectares of land. Probate was granted on DD MM YYYY. There was a dispute over a fence boundary, which required rectifying before the property could be sold. It took over 12 months for this dispute to be resolved. The contract of sale for the property was signed on DD MM YYYY. The settlement date for the property was DD MM YYYY.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 118-195 | Income Tax Assessment Act 1997 section 149-10