Do you need to declare gifts if on or below the thresholds ?

[Wheelie Bin]

If an ordinary PAYE worker was to were to receive an inheritance on the threshold , say Category 1 ( €335,000) from a parent do they have to fill out a form for Revenue even though there is no tax liability?

 

[T McGibney]

If an ordinary PAYE worker was to were to receive an inheritance on the threshold , say Category 1 ( €335,000) from a parent do they have to fill out a form for Revenue even though there is no tax liability?

Yes. You are required to file a CAT return (Form IT38) where benefits of at least 80% of the relevant group threshold have been received to date including this benefit.

 

[Wheelie Bin]

Thank you. How soon do you have to send this in ?

 

[jpd]

Does this help

Completing your gift or inheritance tax return (IT38)

Filing your return and paying your tax when you receive a gift or inheritance.

www.revenue.ie

 

[Wheelie Bin]

Does this help

Completing your gift or inheritance tax return (IT38)

Filing your return and paying your tax when you receive a gift or inheritance.

www.revenue.ie

Thank you

 

[DirectDevil]

As others have pointed out 80% of threshold is the trigger for a return.

I had a roughly similar scenario a few years ago. The inheritance was a mix of assets. I instructed a tax adviser who also submitted the return for me. In a matter of a few days I had a "nil" assessment. Happy days.

My point is that if you have any uncertainties about a return for this type and size of acquisition professional advice is well worth the fee to make sure that it is done properly. I think that she charged me something akin to the fee for an opinion from a junior counsel but worth it.

 

[Wheelie Bin]

Just a follow up to this : If declaring for a young child who has received an inheritance or gift valued at more than 80% of the Category B threshold , say €30k , do you set up a myaccount on revenue.ie for them , the same as an adult and submit a declaration on their behalf in the same way as an adult ?