The ATO has released a draft ruling ( TD 2026/D1 ) that creates a real and immediate tax risk for many wills and estate plans that include a “right to occupy” or “right to reside” in the family home.   In short, the ATO’s draft view is that many of these rights will not qualify for the main residence capital gains tax ( CGT ) exemption when the property is eventually sold.   This can result in unexpected and significant CGT for estates and beneficiaries.   Why this matters  

Death is not a Joke! Jokes aside, death is no laughing matter, particularly, if you don't have a will. Dying without a will can be disruptive and have serious consequences including: Unintended outcomes Beneficiaries that you wanted to benefit could miss out due to strict succession rules that may trigger a distant relative inheriting assets. You could lose control over minor children leading to those children being raised by someone else that was never intended. Financial d