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Edited version of private advice
Authorisation Number: 1051528073720
Date of advice: 11 June 2019
Ruling
Subject: Capital gains tax small business concessions
Question
Will the Commissioner exercise his discretion under paragraph 103-25(1)(b) of the Income Tax Assessment Act 1997 (ITAA 1997) to allow further time in which to choose to apply the small business capital gains tax (CGT) rollover to the sale of shares?
Answer
Yes, the Commissioner will allow an extension of time.
This ruling applies for the following period:
Year ended 30 June 20XX
Year ended 30 June 20XX
Year ended 30 June 20XX
Year ending 30 June 20XX
The scheme commences on:
1 July 20XX
Relevant facts and circumstances
You were a shareholder in a company.
You sold your shares.
You received capital proceeds from the sale and were required to deal with the resulting capital gain in your income tax return.
You satisfied the basic conditions in subdivision 152-A of the ITAA 1997.
You were entitled to access the small business CGT concessions in division 152 of the ITAA 1997.
You wanted to choose to use the small business roll-over in subdivision 152-E of the ITAA 1997.
Due to an oversight by your former tax agent, the capital gain was not considered in your income tax return.
Consequently, you did not make any choice regarding the small business CGT concessions.
Relevant legislative provisions
Income Tax Assessment Act 1997 paragraph 103-25(1)(b)
Income Tax Assessment Act 1997 division 152
Income Tax Assessment Act 1997 subdivision 152-A
Income Tax Assessment Act 1997 subdivision 152-E
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