UK Capital Gain - Irish tax liability

I am an Irish resident, ordinarily resident and non domiciled. I made a profit on the sale of property situated in the UK subsequent to 20/11/08 and this is now taxed on a remittance basis. Assume the property cost £60,000 (1995) and it was sold for £100,000 in 2009. If I transfer £100,000 to Ireland what is my tax liability here and do I report it as a capital gain in my 2010 tax return? What would the rule be if I transferred £50,000?

You calculate the Gain of €40,000.

This is my understanding of the calculation:

If you transfer €100,000 (all of the proceeds), you would be taxable on the full profit in the year that you make the transfer of the funds.

If you transfer €50,000 (half of the proceeds), you would be taxable on half of the profits (€20,000) in the year that you make the transfer of the funds.

Of course, if you transfer these funds from a bank account that also holds interest etc, this complicates that calculation.

Thank you Domo your reply was most helpful

I thought that if you were ordinarily Tax resident in Ireland, CGT must be paid on yiur worldwide transactions whether you remit the money or not. CGT is not based on a remmittance basis = it works on a transaction basis. If the transaction occurred prior to end 2008 the Tax shoukld have been remitted in the first quartre of 2009.

I'm not an accountant so I do stand to be corrected.

Hi Mercman

Domo is correct.....

The OP said he is not domiciled in Ireland and this makes all the difference
as it means it is indeed on the remittance basis.

Scary how one issue charges everything though!

Kind Regards

Dbrab

Brantford, apologies for confusing the issue. Dban, thank you for correcting me.