Private ruling: Income of an excepted person
Date of advice: 27 May 2022
Published: August 2022
Ruling period: Year ending 30 June 2022 | Year ending 30 June 2023 | Year ending 30 June 2024 | Year ending 30 June 2025 | Year ending 30 June 2026
Date scheme commenced: 1 July 2021

Ruling: Q1: Are the distributions made to a minor while they are under the age of 18, considered to be made to an excepted person for the purposes of paragraph 102AC(2)(d) of the Income Tax Assessment Act 1936 (ITAA 1936)? | A1: Yes. You have supplied medical certification from a qualified medical practitioner certifying that the minor is suffering a disability and has ongoing symptoms from their condition. The Commissioner is satisfied that they are an excepted person under paragraph 102AC(2)(d) of the ITAA 1936.

Relevant facts and circumstances: A trust wishes to make trust distributions to a disabled minor who is a beneficiary of the trust. The beneficiary has a number of serious and life shortening disabilities. The beneficiary's date of birth is DD/MM/YYYY. You have provided medical certification from a legally qualified medical practitioner certifying that the person has a disability and is likely to need care and attention either permanently or for an extended period and that they meet the meaning of 'disabled child' and 'disabled adult' under the Social Security Act 1991 .

Relevant legislative provisions: Income Tax Assessment Act 1936 paragraph 102AC(2)(d)