Private ruling: CGT - deceased estates
Date of advice: 17 August 2022
Published: November 2022
Ruling period: The income year ended 30 June YYYY
Date scheme commenced: DD/MM/YYYY

Ruling: Q1: Will the Commissioner exercise the discretion to allow an extension of time for you to dispose of your ownership interest in the dwelling (the property) 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 passed away on DD/MM/YYYY. The deceased inherited the property from their deceased spouse after 20 September 1985. The property was situated on less than X hectares of land. The property was the main residence of the deceased just before their death and was not used to produce income at that time. The Court granted Probate of the deceased's will. Probate was granted to X of the deceased's children as substituted executors. The deceased's X children (the beneficiaries) each inherited a X% interest in the property. Sensitivity of circumstances in relation to a surviving beneficiary resulted in a delay to the disposal of the property. No capital improvements were made to the property during the beneficiaries' ownership period. The property was sold at auction on DD/MM/YYYY.

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