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Edited version of your written advice
Authorisation Number: 1051262714175
Date of advice: 01 August 2017
Ruling
Subject: CGT deceased estate- two year extension
Question 1
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 June 20XX?
Answer
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 June 20XX.
Further information on the relevant factors, and inheriting a dwelling generally, can be found on our website ato.gov.au by entering Quick Code QC17195 into the search bar at the top right of the page.
This ruling applies for the following period:
Year ended 30 June 2018
The scheme commences on:
1 July 2017
Relevant facts and circumstances
You and your sibling inherited a property from your parent when they passed away in early-mid 20XX.
The property was purchased before 20 September 1985.
The property earned a small amount of rental income in the years after your parent passed away and before the property was sold.
Your sibling was officially diagnosed with a medical condition in mid-late 20XX. Due to their deterioration, your sibling was not fully able to cooperate with you to arrange the sale of the property. As a result of this, the two year exemption period was exceeded.
A contract for the sale of the property was signed in mid 20XX, approximately two years and three months after the date of death.
Relevant legislative provisions
Income Tax Assessment Act 1997 Subsection 118-195(1).
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