Private ruling: Commissioner's discretion to extend two year period
Date of advice: 23 June 2021
Published: August 2021
Ruling period: Year ended 30 June 20XX | Year ended 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Will the Commissioner allow an extension of time for you to dispose of your ownership interest in the dwelling and disregard the capital gain you make on the disposal? | A1: Yes. Having considered your circumstances and the relevant factors, the Commissioner is able to apply his discretion for up to two hectares of land with your dwelling under subsection 118-195(1) of the ITAA 1997 and allow an extension of time. Further information about this discretion can be found by searching 'QC 52250' on ato.gov.au


Relevant legislative provisions: Income Tax Assessment Act 1997 subdivision 115-A | Income Tax Assessment Act 1997 section 102-20 | Income Tax Assessment Act 1997 section 104-10 | Income Tax Assessment Act 1997 section 118-120 | Income Tax Assessment Act 1997 section 118-130 | Income Tax Assessment Act 1997 section 118-195


Relevant facts: The deceased acquired a dwelling (the dwelling). | The deceased passed away in 20XX. (The deceased) | The dwelling is located on land that is less than two hectares. | The dwelling was the deceased's main residence. | The dwelling was also occupied by your sibling (sibling A). | You undertook a detailed search in Australia and overseas for the last will of the deceased. This caused some delays and eventually you applied to the Court for and were granted letters of administration. | Sibling A was reluctant to vacate the dwelling for a period of time and you were unwilling to commence legal proceedings to remove them from the dwelling. | Suitable alternative accommodation was found for sibling A. | You have been visiting the dwelling and removing rubbish and undertaking some repairs. | Covid-19 has impacted on your ability to do this. | The dwelling was listed for sale by auction recently. | Settlement is expected to occur on xx xx 20XX (just outside the two year period). | Assumption: For the purpose of this ruling, it is assumed that settlement will occur by a set period.