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Edited version of private advice
Authorisation Number: 1051621199641
Date of advice: 18 December 2019
Ruling
Subject: Small business concession
Question
Are you eligible for the small business CGT concessions?
Answer
Yes. Having considered your situation, you satisfy the basic conditions in Subdivision 152-A of the Income Tax Assessment Act 1997. Further information can be found searching 'QC 52266' on ato.gov.au
This ruling applies for the following period:
1 July 2018 to 30 June 2019
The scheme commences on:
1 July 2018
Relevant facts and circumstances
After 20 September 1985 you and your spouse (you) acquired a property (the property) as joint tenants to use as a bed and breakfast business (the business). You provided details of the acquisition.
The business commenced the same year under a trading name.
You invested amount of capital in the business and incurred running expenses.
You had a separate bank account for the business.
You kept your records in cash book in excel format.
You did not have a specific written business plan.
You advertised your business through the local newspaper, signage, word to mouth and sponsorship.
You have provided details of your activity including bookings over a number of years and the average length of stay.
You provided additional services through the business such as breakfast and cleaning.
You had an aggregated turnover of less than $2 million.
In 2018 you sold the business for a specific amount.
Relevant legislative provisions
Income Tax Assessment Act 1997 Subdivision 152-A