EV 1052030399527currentnon-binding advice

CGT - small business roll-over

Non-binding edited private advice. This is an edited version of private advice the ATO gave to a specific taxpayer about their own circumstances. You cannot rely on it — it is not binding and provides no protection for anyone else (see PS LA 2008/4). Use it as a guide to the ATO’s thinking, not as authority.

1

Will the Commissioner exercise the discretion to extend the replacement asset period pursuant to subsection 104-190(2) of the Income Tax Assessment Act 1997 (ITAA 1997), in respect of the small business roll-over under Subdivision 152-E of the ITAA 1997?

2

Yes. Having regard to your circumstances including the ill health of the sellers which has delayed negotiations, the Commissioner considers the extension would be fair and equitable. Further information on the small business rollover can be found on by searching 'QC 52291' on ato.gov.au. This ruling applies for the following period : Year ending 30 June 20XX The scheme commences on: 1 July 20XX

3

You are a primary producer. You sold a primary production property which you owned with your then spouse. The property sold was a small business capital gains tax active asset. Your intention is to acquire a replacement asset by purchasing a primary production property from X. This aligns with your chosen career in primary production as well as the succession planning of your wider family. The acquisition of this replacement asset had been put on hold due to recent serious ill health of X. Around the time of applying for this private ruling X had again become well enough to recommence discussions about the sale of the property.

4

Income Tax Assessment Act 1997 subsection 104-190(2)