Inheritance tax?

[keano]

Hi, i apologise for the cluelessness of my question but im new to this.

Im just wondering about what/if taxes apply for the inheritance by a will of both a life assurance policy and a home that is intended to be sold off and the proceeds being divided up between the other beneficiaries?

thanks

 

[mf1]

It would be very helpful if you gave a little more information.

Values?
Relationship between disponer and beneficiaries?

See Revenue:

http://www.revenue.ie/en/tax/cat/thresholds.html


mf

 

[keano]

It would be very helpful if you gave a little more information.

Values?
Relationship between disponer and beneficiaries?

See Revenue:


mf

You're right, im sorry. Thanks for your reply.

Granted by Will from a parent to her children; A life assurance policy of 140,000 divided equally between her three adult children(beneficiaries) and a house valued at roughly 320,000 which is intended on being sold and the value of which also being divided equally between the 3 children (beneficiaries).

 

[mf1]

If you look at the Revenue link, you will see that offspring may inherit up to €250K before tax @ 25% is payable.

There are a number of issues involved in most CAT situations - in yours, it is, did any of the beneficiaries receive prior benefits? Does the life policy form part of the estate? or does it fall outside the estate?

If this is all very new to you, you should consider taking tax/legal advice as regards your own specific circumstances.

mf

 

[T McGibney]

If you look at the Revenue link, you will see that offspring may inherit up to €250K before tax @ 25% is payable.

http://www.revenue.ie/en/tax/cat/rates.html
Tax Rates applicable for Capital Acquisitions Tax

Benefits taken on or after 7 December 2011
Threshold amount Nil
Balance 30%

Benefits taken between 8 April 2009 and 6 December 2011
Threshold amount Nil
Balance 25%

 

[keano]

If you look at the Revenue link, you will see that offspring may inherit up to €250K before tax @ 25% is payable.

There are a number of issues involved in most CAT situations - in yours, it is, did any of the beneficiaries receive prior benefits? Does the life policy form part of the estate? or does it fall outside the estate?

If this is all very new to you, you should consider taking tax/legal advice as regards your own specific circumstances.

mf

hi mf1,

when you say that the offspring may inherit up to 250k before tax is payable, do you mean individually or collectively?

thanks

 

[T McGibney]

Individually.

 

[keano]

Individually.

Thanks, thats good to know. When a property is also inherited by will and then sold and monies earned by sale are divided equally as requested by the will, does the revenue tax that differently or is it all included in the 250k individual threshold?