CAT - Inheritance from US

[jokerini]

John (Irish resident) receives an inheritance of €50,000 from his uncle who lived for several decades in the US.

The US tax authorities have deducted tax at source. Can John claim a credit for US tax deductions when calculating his CAT for the Revenue Commissioners?

 

[srase]

If the inheritance is deemed to be located in the US there may not be any Irish tax liability.

See Revenue guidance on the Irish US double tax treaty - http://www.revenue.ie/en/gains-gift...m-against-cat/double-taxation-relief-usa.aspx

 

[Marc]

That's my understanding too. The double tax treaty says that where an Estate is liable to US tax, that fully discharges the liability from an Irish CAT perspective. It doesn't matter that no tax is payable on estates below $5M!