| Disclaimer This edited version has been archived due to the length of time since original publication. It should not be regarded as indicative of the ATO's current views. The law may have changed since original publication, and views in the edited version may also be affected by subsequent precedents and new approaches to the application of the law. You cannot rely on this record in your tax affairs. It is not binding and provides you with no protection (including from any underpaid tax, penalty or interest). In addition, this record is not an authority for the purposes of establishing a reasonably arguable position for you to apply to your own circumstances. For more information on the status of edited versions of private advice and reasons we publish them, see PS LA 2008/4. |
Edited version of your written advice
Authorisation Number: 1051459809521
Date of advice: 18 December 2018
Ruling
Subject: Capital gains tax and tax rates
Question 1
Will the Commissioner allow an extension of time to XX XXXXX 20XX for you to dispose of your ownership interest in the dwelling and disregard the capital gain you make on the disposal?
Answer
Yes. Having considered your circumstances and the relevant factors, the Commissioner will allow an extension of time. Further information about the discretion can be found on our website ato.gov.au and entering Quick Code QC52250 into the search bar at the top right of the page.
Question 2
Will the Commissioner exercise his discretion under subdivision 99A(2) of the Income Tax Assessment Act 1936 (ITAA 1936) to apply progressive individual rates of tax as per section 99 of the ITAA 1936?
Answer
Yes. After consideration of the relevant factors, the Commissioner is of the opinion that it would be unreasonable that section 99A of the ITAA 1936 should apply in relation to that trust estate in relation to the relevant years of income. Accordingly section 99 of the ITAA 1936 will apply.
This ruling applies for the following periods:
Year ended 30 June 20XX
Year ended 30 June 20XX
Year ended 30 June 20XX
Year ended 30 June 20XX
Year ending 30 June 20XX
Year ending 30 June 20XX
The scheme commences on:
1 July 20XX
Relevant facts and circumstances
The Deceased died on XX XXX 20XX (date of death).
After 1985 the Deceased acquired an ownership interest in a property (the property) which was their main residence up until their date of death.
The property was not used to produce income either before or after the date of death.
On XX XXXX 20XX, the Executor was put on notice that there was a claim against the Deceased Estate for family provision.
On XX XXX 20XX all claims, issues and disputes in relation to the Deceased’s estate were settled.
On XX XXX 20XX an Agency Agreement was entered into and the property listed for sale.
On X XXXX 20XX the contract for the sale of the property was exchanged.
Settlement for the property occurred on XX XXXX 20XX.
Relevant legislative provisions
Income Tax Assessment Act 1936 section 99A
Income Tax Assessment Act 1997 section 118-195