Edited version of private advice

Authorisation Number: 1052200330870

Date of advice: 16 January 2024

Ruling

Subject: Commissioner's discretion - extension of time

Question

Will the Commissioner exercise his discretion under subsection 118-195(1) of the ITAA 1997 and allow an extension of time to the two-year period to dispose of the property at XX as part of the estate of the late XX?

Answer

Yes. Having considered your circumstances and the relevant factors, the Commissioner will exercise his discretion to extend the two-year period for the ownership interest in the property.Further information about the Commissioner's discretion can be found by searching ato.gov.au for 'QC 66057'.

This ruling applies for the following period:

30 June 20XX

The scheme commenced on:

Year ending DD MM YYYY

Relevant facts and circumstances

The late XXX (the "deceased") purchased the family home at XXX in 19XX, living in the dwelling from 19XX until the deceased moved into a nursing home a few months prior to their death in 20XX.

The deceased's Will is dated XXX 19XX, leaving the assets in equal shares to the spouse and children. No provision was made in the Will for one child.

The spouse lived in the dwelling (home) until their death in 19XX, and died intestate.

One of the deceased's children lived in the dwelling until their death in 20XX.

The child was disabled, and dependent on the family.

During probate for the deceased, the children entered into a binding Family Deed, by means of Letters of Administration through the Supreme Court.

The Family Deed permitted the child to live in the family home until they moved into full time care, or their death.

In 20XX, according to the Letters of Administration, the title of the property was transferred from the deceased to the Trustee for the Estate of the late XXX.

Property at XXX was sold on XXX 20XX with settlement on XXX 20XX.

Relevant legislative provisions

Income Tax Assessment Act 1997 section 118-195

Income Tax Assessment Act 1997 subsection 104-10(5)