| Disclaimer This edited version has been archived due to the length of time since original publication.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: 1051483823915
Date of advice: 15 February 2019
Ruling
Subject: Extension of time to the two year exemption from capital gains tax for a deceased’s main residence.
Question
Will the Commissioner allow an extension of time for you to dispose of your ownership interest in the dwelling and disregard the capital gain or loss 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 this discretion can be found by searching 'QC 52250' on ato.gov.au
This ruling applies for the following period:
30 June XXXX
The scheme commences on:
Relevant facts and circumstances
The property was the main residence of the deceased. This property was never used for investment purposes.
The will states two the Executors of the will. One of the executor’s was permitted to reside in the property as long as they required and then the property was left to the executor’s children to reside in as tenants in common in equal shares.
You were offered a private offer on the property. After considering the offer you decided to sell.
Renting the property was not financially viable due to health issues. The distance between the property and your family home was too far for you to consider relocating.
The settlement of the property was to occur before the end of the two year period. Due to an error on the purchaser’s documentation the settlement was delayed.
You disposed of your ownership interest after two years and one day.
Relevant legislative provisions
Income Tax Assessment Act 1997 Subdivision 115-A
Income Tax Assessment Act 1997 section 102-20
Income Tax Assessment Act 1997 section 118-195
Income Tax Assessment Act 1997 section 104-10