Inter Spousal Transfers

A. Son/Daughter€280,000
B. Parent* / Brother / Sister / Niece / Nephew / Grandchild€30,150
C. Relationship other than Group A or B€15,075

* In certain circumstances a parent taking an inheritance from a child can qualify for Group A threshold.

For example, you and your spouse can gift €280,000 to a child free of gift tax. When determining if the life time tax free amount has been reached it is only gifts or inheritances that are taken from 5 December 1991 which are relevant.

The date of the gift or inheritance determines the rate of tax and threshold amount applicable. Therefore care should be taken to ensure the correct date is identiifed, as particularly in the case of wills, the date of the inheritance may be a date later than the date of death of the deceased.

Pointer; It can be worthwhile while drafting wills to ensure it is constructed in a manner that allows flexability on this point.