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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 private advice

Authorisation Number: 1052027245994

Date of advice: 29 August 2022

Ruling

Subject: CGT - property

Question

Will the Commissioner exercise the discretion to allow an extension of time for you to dispose of your ownership interest in the property and disregard the capital gain or loss you made 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 Commissioner's discretion can be found by searching ato.gov.au for 'QC 66057'.

This ruling applies for the following periods:

Year ended 30 June 20XX

Year ending 30 June 20XX

The scheme commenced on:

1 July 20XX

Relevant facts and circumstances

At some time after 1985, the deceased and their spouse jointly acquired the property. The property was the main residence of the deceased just before they passed away and was not used to produce assessable income at that time.

The property was situated on less than two hectares of land.

Several years later, the deceased's spouse passed away.

Later, the deceased passed away. The property remained vacant until the sale settled.

After the deceased passed away, the state spent periods in COVID lockdown. During this time, the Co-Executors were essential workers.

After the restrictions eased, the property sold quickly and settled within two months after the end of the two-year period.

Relevant legislative provisions

Income Tax Assessment Act 1997 Section 118-195