Private ruling: Small business concessions
Date of advice: 15 March 2019
Published: May 2019
Ruling period: Year ended 30 June 2018
Date scheme commenced: 1 July 2017

Ruling: Q1: Can you disregard the capital gain made on the disposal of your property under the small business 15 year exemption? | A1: Yes. You won’t have an assessable gain on the sale of the active asset as you have met the basic conditions, are over 55 years old and you have owned the active asset for more than 15 years. The Commissioner also considers that the CGT event has happened in connection with your retirement. Further information can be found by searching 'QC 52288' on ato.gov.au

Relevant facts and circumstances: You acquired a property. You have been farming the property during your entire ownership period. A main residence was built on the property and you moved in with your family on completion. You sold the property and the exchange of contracts occurred after over 15 years of ownership. You do not plan to continue farming. You are in the process of selling your farming machinery and equipment. Your turnover in the previous financial year was less than $2 million. You are over 55 years of age.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 152-105