MP900398749[1]How to distribute your assets after death is a very personal decision.

However it is important to keep tax issues in mind before making a final decision.

The beneficiary will pay Capital Acquisitions Tax (CAT)  at 33%(2015 rate) on any inheritance over the tax free threshold

The tax free thresholds for CAT are:

Group A: Son/daughter       €225,000

Group B: Parent/brother/sister/niece/nephew/grandchild  €30,150

Group C: Relationship other than Group A and B       €15,075

There is no CAT between a husband and wife

Various reliefs are also available such as agricultural relief, dwelling house relief and business relief.

Since 1st January 2015 any gifts given to  children who are over 18 years (25 years if in full time education) will reduce their tax free threshold.

We specialise in succession planning and have given advice to our clients on distributing their assets in a tax efficient manner but at the same time taking into account our clients personal wishes.