Private ruling: Capital gains tax – extending two year period
Date of advice: 12 June 2017
Published: October 2017
Ruling period: 30 June 2017
Date scheme commenced: 1 July 2016

Ruling: Q1: Will the Commissioner exercise the discretion under section 118-195 of the Income Tax Assessment Act 1997 and extend the two year time period until settlement date? | 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 until settlement date. Further information on the relevant factors and inheriting a dwelling generally can be found on our website https://www.ato.gov.au and entering Quick Code QC17195 into the search bar at the top right of the page.

Relevant facts and circumstances: This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling. The deceased owned joint property more than 2 hectares purchased pre 20 September 1985. The deceased passed away in 2013 without leaving a will. The deceased never married but had siblings. In 2014 letters of the administration were granted by the Supreme Court of NSW. In 2015 the estate was served with a Court order by a relative of the deceased. This matter was settled in 2015. The property was attended to by the deceased’s siblings for sale. In 2016, the property sold and settlement occurred in 2017.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 104-10 | Income Tax Assessment Act 1997 section 118-195 | Income Tax Assessment Act 1997 subsection 118-195(1).