CAT aggregation rules
Current Capital Acquisitions Tax (CAT) aggregation rules (post 5 December 2001)
Aggregation rules for an inheritance or gift are those that apply at the date of death or the date of the gift. The valuation date, which determines the due date for CAT, is not relevant to aggregation rules.
To calculate the tax you owe on the latest benefit, add all inheritances or gifts you have received under the same group threshold from 5 December 2001 as follows:
- Identify the group threshold applicable to the current benefit.
- Add together the taxable value of all prior benefits received under this group threshold since 5 December 1991.
- Calculate the unused balance of the group threshold.
- Subtract this amount from the value of the current benefit.
- This is the excess amount you must pay tax on.
Example of Current CAT aggregation rules (post 5 December 2001)
Group threshold applicable to current benefit €30,150
Prior benefits in this group threshold €42,000
Unused threshold (€30,150 - €42,000) negative, so none
Current benefit €30,000
Amount you must pay tax on €30,000 x 33% = € 9,900