Tax on Inherited house

Y

yop

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Lads
My dad was left a house by his ma, it is worth in the region of 115-135 euro, it has not been lived in for the last 20-25 years.

If he sells this what are the tax implications, I have searched the forums but have had no luck in finding a similar situation.

Thanks
 
Subject to previous gifts and their value and to when house was inherited possibly only Capital Gains Tax, if that. Has Probate issued?

mf
 
AFAIK Inheritance tax should be nil, see
[broken link removed]

Sale of property if not principal private residence is taxed at 20% after exemption of E1,270. See this [broken link removed]
 
Hi Yop

Let's be clear - presumably the house was left to your Dad recently? If he sells it immediately, he will be liable to the increase in value of the house from the date of death. If it's sold fairly quickly, the Revenue will probably accept the subsequent sale value as the value at the date of death, so there will be no CGT.

If it's the only substantial gift or inheritance received from your Grandma, then there will be no CAT(inheritance tax) either.

Brendan
 
just be careful that there isn't a series going on here say a transaction from Grandma to Grandson using the son (your father).

say A ( Grandma) wishes to gift to C (Grandson).Some people might think that to avoid CAT A could pass it on to B thereby availing of Class A threshold and not paying tax, and then B could pass on to C again thinking they could avail of Class A threshold. by passing on the property to B and susequently B passing on to C, there will be deemed to be an automatic transaction from A to C and the relevant threshold of grandmother/grandson threshold will be used meaning that CAT will be payable.

be wary that your Dad doesn't pass on the house to you made within the period commencing three years before and ending three years after, the date of that gift from A to B.
 
thanks lads,

She died 2 years ago and he was also left her house, so in real terms he was left 2 house, the one I am talking about has not been lived in for a good while.
 
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