Disclosure of previous gifts during probate

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horse7

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Hi, my in law Sean is applying for probate following his dads demise, his dads house is valued about 300,000euro . One of the questions in the process asks if he has received any gifts from his dad since 1991. He did receive 30.000euro 2 years ago, but is not sure if the tax people aggregate this to the house valuation/sale, meaning total of 330,000euro or if he will be penalized for not letting revenue know about the 30,000euro gift 2 years ago. Also if he is penalized what would the penalty be for non disclosure, He was unaware until now to make a disclosure.
 
I am not a tax expert but ... there should be no problem here. An earlier gift of €30K from the father did not need to be notified to Revenue at the time assuming that there were no other previous Group A gifts/inheritances (e.g. from the mother?) that cumulatively came to 80% of the Group A threshold at the time (80% of €335K). He should just report the €30K gift now as requested. He should still be well under the current Group A exemption threshold of €400K but will need to file a CAT return if he's over 80% of this (€320K).

Capital Acquisitions Tax (CAT) thresholds, rates and aggregation rules

This page outlines CAT thresholds, rates, and aggregation rules
www.revenue.ie www.revenue.ie
 
ps. his father remarried after the death of his mother, are cash gifts of 3000euro allowed from his stepmother also(when she was alive) or just from a father and mother?
 
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