Capital Gains Tax-Parent to Child

M

Melmoghra

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Hello, I inherited my fathers house in 2015, valued €70,000.00............I now wish to sign over the house to my daughter..updated value (in 2019) is €75,000.00: She has to pay €750.00 stamp duty and €130.00 certification....my question is do I have to pay capital gains tax on the €5,000.00 the property has gained in value sine 2015? She has never received any gifts of property or money from either myself or her father...thank you:)
 
In short, yes.

However, you can offset the following costs against the €5,000 gain:

- Your legal costs
- Any enhancement costs incurred during the period (e.g. new bathroom, new kitchen, new roof)
- The Personal Exemption of €1,270
 
Thank you so much Gordon Gekko, your reply makes sense:) Do you know if I can include Solicitor bills from 2015 regarding the transfer of my father's house to my name, and Undertaker bills from 2015, in my costs offset claim, or can these only be claimed for the transfer of the house from me to my daughter? Thanks again....
 
Hi,

No, those bills related to the estate. They won’t be relevant.

If you personally incurred a legal bill in the context of receiving the property, that would be allowable, but I suspect that you’re referring to fees for probate etc and that kind of stuff.

G
 
Thank you Gordon Gekko:) I think I understand the way it works now.....I have one more query that you might help me with please? I inherited a small piece of ground in 1999 (1 acre) value at the time was £7,000.00, it is now valued at €10,000.00 so my 'profit' is €1,110.00....I would like to gift this land to my niece....I understand that she will have to pay 6% stamp duty, but, is that on the €10,000.00 i.e. €600.00 (even if it is a gift?) and if I sold it to her for say €8,000.00 would she then pay €480.00 stamp duty or €600.00 ? I would like to gift it to her but what would be the better option regarding the cost to her ...thank you again,
 
Melmoghra said:
Thank you Gordon Gekko:) I think I understand the way it works now.....I have one more query that you might help me with please? I inherited a small piece of ground in 1999 (1 acre) value at the time was £7,000.00, it is now valued at €10,000.00 so my 'profit' is €1,110.00....I would like to gift this land to my niece....I understand that she will have to pay 6% stamp duty, but, is that on the €10,000.00 i.e. €600.00 (even if it is a gift?) and if I sold it to her for say €8,000.00 would she then pay €480.00 stamp duty or €600.00 ? I would like to gift it to her but what would be the better option regarding the cost to her ...thank you again,
Click to expand...
If there were larger amounts involved (eg if it's now classed as a site and worth more than 10k), there's an exemption available for transfer of a site from parent to child, on condition that thet child builds and occupies house as their main residence. Parent is exempt from CGT, and child can claim back some of the stamp duty (I think the net effect is they pay 2% instead of 6%)
 
Thank you again Gordon Gekko. It's a pity the Revenue website isn't more user friendly...I'm trying to file the CGT for 2018 and I cannot do it online. Both my husband and I are PAYE workers, so , I thought we should fill form12 online, but, this is not for CGT:eek: Form11 is for self assessed people...do you know at all what form I should be filling out and can I fill it out online? I will have to complete CGT payslip B, but, is there another form, do you know, please?
 
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Melmoghra said:
Thank you again Gordon Gekko. It's a pity the Revenue website isn't more user friendly...I'm trying to file the CGT for 2018 and I cannot do it online. Both my husband and I are PAYE workers, so , I thought we should fill form12 online, but, this is not for CGT:eek: Form11 is for self assessed people...do you know at all what form I should be filling out and can I fill it out online? I will have to complete CGT payslip B, but, is there another form, do you know, please?
Click to expand...
CG1 form. Can only be filed on paper afaik.
 
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