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Edited version of private advice
Authorisation Number: 5010063124983
Date of advice: 14 November 2019
Ruling
Subject: Capital Gains Tax
Question
Are you assessable on a share of capital gains tax on the sale of your parent's propertyin which you are a joint owner?
Answer
No.
Based on the information provided, the Commissioner is satisfied that you did not have a beneficial ownership interest in the property and held the interest in the property on trust for yourself. Therefore when the disposal of the property occurs you will not be liable for capital gains tax.
This ruling applies for the following period:
Year ending 30 June 2020
The scheme commenced on:
1 July 2019
Relevant facts and circumstances
When you were young you were included on the title deed of the family home which was held in trust for you by your parents. You did not contribute to the purchase of the property.The home must now be sold to provide for your parent's ongoing care facilities.
Relevant legislative provisions
Income Tax Assessment Act 1997 Section 6-5