Inheritance Taxes 7 Year Rule in the UK. Anything similar in Ireland?

[monagt]

"Patrick Connolly, of Chase de Vere, the independent financial adviser, says: “A parent can make gifts of up to £3,000 a year without incurring any potential inheritance tax liability. A couple can give up to £6,000 a year to their children.

He adds that they can also make gifts of any amount to their children, and if they survive for seven years after making the gift there is no inheritance tax (IHT) to pay on it"

thetimes.co.uk 18/01/17

Is there a seven rule in Ireland?

 

[T McGibney]

Is there a seven rule in Ireland?

What purpose would it serve? Unlike in the UK, gifts here are fully taxable to CAT in the same manner as inheritances are.

 

[monagt]

So thats a No, then. I thought that if the 3K per parent rule was here then the 7 year might be as well.

If the 3k/year here is a PAYE allowance for the child then does the 3k/year come off the amount that parents can will their child tax free?

 

[john luc]

The 3K a year is a stand alone payment and has no impact on inheritance allowances

 

[Vanilla]

The UK has a completely different way of taxing wealth transfer, they incentivise life time gifts as you have described. In Ireland all prior gifts and inheritances ( apart from the small gift exemption) taken after 5 December 1991 are aggregated.

 

[monagt]

Thanks Jluc & Van for the clarification

 

[Bronte]

Monagt, I think it would be helpful if you mentioned in your OP that Chase De Vere were talking about the situation in the UK and not Ireland. That wasn't immediately obvious to me.

 

[monagt]

I did reference "thetimes.co.uk" and was asking if we had similar in Ireland.

And it was in £ (Sterling)