Last edited: 2 Dec 2017 Do I understand this correctly? Capital Gains Tax can be set off against gift tax arising on the same event? If I want to help a nephew to buy a house. So I sell some shares. Proceeds: €130k Cost:€30k Gain:€100k CGT :€33k Net cash to me €97k I give him €97k Exempt from CAT: €32,500 Taxable:€64,500 CAT:€21,285 received by him: € 75,700 Say I give him shares instead of cash CGT calculation for me the same: Proceeds: €130k Cost:€30k Gain:€100k CGT :€33k CAT calculation for him: I give him €97k shares (and sell €33k worth) Exempt from CAT: €32,500 Taxable:€64,500 CAT:€21,285 But he gets a credit for the CGT I have paid on the shares, so he pays no CAT. Either way, I dispose of €130k of shares and pay the same CGT But if I give him the net proceeds as cash, he gets €75k If I give it to him as shares, he gets €97k.