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Edited version of private advice
Authorisation Number: 1052405633070
Date of advice: 16 June 2025
Ruling
Subject: Commissioner's discretion - small business concessions
Question 1
Will the Commissioner exercise the discretion under subsection 152-80(3) of the Income Tax Assessment Act 1997 (ITAA 1997) to extend the time limit to allow the small business capital gains tax concessions to be applied?
Answer 1
Yes,having considered your circumstances and the relevant factors, the Commissioner will exercise the discretion under subsection 152-80 of the ITAA 1997 and allow an extension of time.
This ruling applies for the following period:
30 June 20XX
The scheme commenced on:
1 January 20XX
Relevant facts and circumstances
The Deceased passed away on XX December XXXX.
In 20XX the Deceased commenced his own entity.
The deceased was the sole shareholder and director which held X shares.
The shares are now held by the estate.
Assets of the entity are the shares, a depot and plant and equipment.
The assets were used as active assets for the past twelve years.
The deceased was over 55 years of age at the time of passing.
In January/February 20XX new directors were appointed.
It has taken the executors more time than initially thought to learn how the business operates.
The business employs a number of people, as well as supporting, through further commercial activity, other businesses in a small rural town. You have been attempting to keep the business running to ensure ongoing support for these people, as well as ensuring financing obligations are met. There is additional complexity in the way the business and the estate interact.
The beneficiaries could not come to agreement on the distribution of the estate.
One of the beneficiaries refused to attend meetings to discuss matters of the estate.
Relevant legislative provisions
Income Tax Assessment Act 1997 section 152-80
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