CAT Act - Transfer of Property

[Jaskin]

Hello all,

I have been doing a little bit of researching into means of acquiring a house as a gift without affecting the €467 lifetime gift allowance. Searching the forums I found this:

"Section 86 of the CAT Acts exempts gifts/inheritances of a "dwelling house". In summary, no tax is paid on the inheritance and the house is not included for the purposes of the exemption threshold (of €466,725) if the following conditions are met:

- the successor has occupied the house for at least 3 years before the inheritance
- the successor has no other dwelling-house (or interest in a dwelling house)
- the successor occupies the house for 6 years after the date of inheritance"


So is the bottom line here that as long as I stay in a house for 9 years, the property will be exempt from gift/inheritance tax. Does this mean that it simply has to be my PPR?

Also, am I still entitled to invest in other properties but not live in them? Or does this line "the successor has no other dwelling-house (or interest in a dwelling house)" mean I cannot invest in any other house anywhere?

And finally, if I were to work abroad for a year - which is possible in my line of work - (and rent) would this result in a clawback as I was not living in the house for 6 consecutive years?

Many thanks,

Jaskin.

 

[Kilkenny Tax]

Yes, 9 years (3 before and 6 after) will exempt you from CAT.

You cannot invest in any other properties because you will be considered to have an 'interest' in the relevant property.

You can work abroad if your work requires it...

"(5) For the purpose of paragraph (c) of subsection (3), the donee or successor is deemed to occupy the dwelling-house concerned as that donee or successor's only or main residence throughout any period of absence during which that donee or successor worked in an employment or office all the duties of which were performed outside the State."