Private ruling: Capital Gains tax
Date of advice: 5 December 2017
Published: April 2018
Ruling period: Year ending 30 June 2018
Date scheme commenced: 1 July 2017

Ruling: Q1: Will the Commissioner exercise his discretion under subsection 118-195(1) of the Income Tax Assessment Act 1997 (ITAA 1997) and allow an extension of time to the two year period to October 2017? | 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 October 2017. Further information on the relevant factors and inheriting a dwelling generally can be found on our website ato.gov.au and entering Quick Code QC17195 into the search bar at the top right of the page.

Relevant facts and circumstances: The deceased passed away in October 201X. The deceased acquired a residential property prior to 20 September 1985 which was their principle place of residence up to their death and at no time was used produce any income or after their death. The deceased nominated a number of beneficiaries and you and your sibling are also named as joint executors and trustees of the estate. The property was offered for sale by way of a public auction in June 2017. The property was sold at auction and pursuant to the terms of the contract of sale, the due date for settlement was October 2017. In October 2017 the purchaser asked that the settlement be deferred until for a few weeks. You did not agree to an extension of the settlement date and despite your best endeavours to sell and settle on the sale of the property before October 2017 this was not possible. The property was eventually settled in late October 2017.

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