CGT ( Resident, Non-Dom )
- Thread starter Kinsella
- Start date
You do not have to pay CGT on foreign income (including profits subject to CGT ?) that is outside Ireland and the UK, as long as the proceeds are not remitted to Ireland.
Otherwise you pay tax as normal.
www.revenue.ie
Otherwise you pay tax as normal.
What is domicile and the domicile levy?
This page provides an overview of domicile status
www.revenue.ie
AAAContributor
Registered User
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In broad terms.....
An Irish tax resident non-domiciled individual is liable to Irish CGT on Irish capital gains and foreign capital gains remitted to Ireland.
Realise a gain on the sale of an Irish property? CGT is due.
Realise a gain on the sale of a foreign property? No Irish CGT due unless the gain is remitted to Ireland.
Sources:
The main charge to CGT based on residence is set out in Section 29(2) Taxes Consolidation Act (TCA) (i.e. CGT is due on any worldwide gains) but this does not apply to a non-dom, who comes under a separate basis of charge in Section 29(4) TCA:
What qualifies as an 'Irish gain'? Refer to Section 533 TCA:
An Irish tax resident non-domiciled individual is liable to Irish CGT on Irish capital gains and foreign capital gains remitted to Ireland.
Realise a gain on the sale of an Irish property? CGT is due.
Realise a gain on the sale of a foreign property? No Irish CGT due unless the gain is remitted to Ireland.
Sources:
The main charge to CGT based on residence is set out in Section 29(2) Taxes Consolidation Act (TCA) (i.e. CGT is due on any worldwide gains) but this does not apply to a non-dom, who comes under a separate basis of charge in Section 29(4) TCA:
Taxes Consolidation Act, 1997, Section 29
The electronic Irish Statute Book (eISB) comprises the Acts of the Oireachtas (Parliament), Statutory Instruments, Legislation Directory, Constitution and a limited number of pre-1922 Acts.
www.irishstatutebook.ie
What qualifies as an 'Irish gain'? Refer to Section 533 TCA:
Taxes Consolidation Act, 1997, Section 533
The electronic Irish Statute Book (eISB) comprises the Acts of the Oireachtas (Parliament), Statutory Instruments, Legislation Directory, Constitution and a limited number of pre-1922 Acts.
www.irishstatutebook.ie
Thanks to cremeegg and AAContributor for comments and links.
The reason for my question relates to my purchase of UK equities from realised UK dividends. None of these monies were brought into Ireland. Accountant deems CGT liability on exchange rate differential between the timing of realisation and the subsequent purchase.
The reason for my question relates to my purchase of UK equities from realised UK dividends. None of these monies were brought into Ireland. Accountant deems CGT liability on exchange rate differential between the timing of realisation and the subsequent purchase.
AAAContributor
Registered User
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- 382
That's correct.
Foreign currency is an asset for CGT purposes - Section 532 TCA.
The location of this asset is deemed to be where the creditor is resident (i.e. Ireland in this case) - Section 533 TCA.
Gains on foreign currency bank accounts do not qualify for the remittance basis of taxation even if located outside Ireland.
I presume your accountant has allowed for the personal exemption against any gains:-
Gordon Gekko
Registered User
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- 7,425
On what basis do such gains not qualify for the remittance basis?That's correct.
Foreign currency is an asset for CGT purposes - Section 532 TCA.
The location of this asset is deemed to be where the creditor is resident (i.e. Ireland in this case) - Section 533 TCA.
Gains on foreign currency bank accounts do not qualify for the remittance basis of taxation even if located outside Ireland.
I presume your accountant has allowed for the personal exemption against any gains:-