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Edited version of private advice
Authorisation Number: 1051618473825
Date of advice: 11 December 2019
Ruling
Subject: Small Business Concessions - Retirement Exemption.
Question
Are you entitled to the Capital Gains Tax Small Business Retirement Exemption?
Answer
Yes
This ruling applies for the following period:
Year ending 30 June 2020
The scheme commences on:
1 July 2019
Relevant facts and circumstances
This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling.
You and your spouse purchased a property over 15 years ago as joint owners.
The property was used leased to your business in which you have a 50% shareholding. Your spouse holds the remaining 50%.
The property has been used solely to operate the business with no private use since it was purchased and meets the aggregated turnover of less than $2,000,000.
A contract for the sale of the property has been signed with the settlement date imminent.
You are under 55 years of age and will make a personal contribution equal to the exempt amount to your Self-Managed Superannuation Fund.
You satisfy the maximum net asset value test as the net asset value of you, your spouse, affiliates and connected entities is less than $6,000,000.
Relevant legislative provisions
Income Tax Assessment Act 1997 section 152-10
Income Tax Assessment Act 1997 section 152-40
Income Tax Assessment Act 1997 subsection 328-125
Income Tax Assessment Act 1997 subsection 328-125
Income Tax Assessment Act 1997 Subdivision 152-D