Private ruling: Capital gains tax: small business concessions: Commissioner’s discretion
Date of advice: 2 May 2019
Published: June 2019
Ruling period: Year ended 30 June 2018 | Year ending 30 June 2019
Date scheme commenced: 1 July 2017

Ruling: Q1: Will the Commissioner allow further time as provided in paragraph 103-25(1)(b) of the Income Tax Assessment Act 1997 (ITAA 1997) to allow you to choose which CGT small business concession will apply to your income tax return for the year ended 30 June 20xx? | A1: Yes. The Commissioner will allow further time.

Relevant facts and circumstances: This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling. You are under the age of 55. You purchased the farming property some years ago. You sold the farming property in 20xx. You made a capital gain. The farming property was an active asset. You intend to access the CGT small business concessions. Your accountant prepared your draft income tax return for the year ended 30 June 20xx incorporating some of the proposed CGT small business concessions. Due to a clerical error in your accountant’s office, your tax return for the year ended 30 June 20xx was incorrectly lodged. You did not authorise the lodgement of the tax return for the year ended 30 June 20xx. You did not make an election as to which CGT small business concession you would use. You will use the CGT small business concessions to reduce your net capital gain.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 103-25 | Income Tax Assessment Act 1997 division 152