Start calculation for CGT returning to Ireland

S

sunkey

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I have a quick tax question. My bro in law will be moving back to ireland next year and will be taxable in Ireland for 2016.

He has savings invested in various shares. Obviously future capital gains will be taxed in Ireland but he has had no CGT liability in his current juristiction as they dont have a CGT.

So how to deal with this for the Irish authorities? Would it be acceptable to record the share prices on 2 January and use these for future CGT calculations (as virtual purchase prices) or would it be neater if he was to sell all before 31 december (in the old juristiction) and rebuy after 2 January (as 'Irish')?
 
The latter...

You don't use virtual cost prices when coming to Ireland. Someone with shares for 40 years who comes to Ireland in Year 41 and sells making a large gain is liable for CGT on the whole lot.

The trick is to rebase as you've suggested (where there are gains). If there are losses, don't sell until they're in Ireland.
 
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