Receiving a gift of a foreign property
You might receive a gift of a foreign property, or inherit one. If so, you may have to pay Irish Capital Acquisitions Tax (CAT) on it. This will happen if you, or the person that you receive the property from, are resident, or ordinarily resident, in Ireland.
A certain amount of your gift may be tax-free. The tax-free amount depends on your relationship to the person you receive the property from. Revenue will also consider any previous gifts you received from that person.
You may also have to pay tax on your gift or inheritance in the country that the property is in. You may be able to reduce the amount of Irish CAT that you must pay. You can do this by deducting the amount of foreign tax you have paid through claiming a Double Taxation Credit.
You may receive a gift of:
- foreign land and buildings
- foreign shares, stocks or marketable securities.
If so, you normally do not pay Irish Stamp Duty on an instrument (written document) transferring the property to you.
Any queries on the above give me a call on 091 763817 or email me at oliver@taxreturnhelp.ie