Gifting site Nephew to Aunt, Any Tax implications?

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willbee

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Hello Everyone,
I am thinking of gifting a site to an aunt of mine returning from the States, after a good few years. She will have a housing need and is origionally from the local area, so I dont see getting planning permission as a problem. I am wondering is there any tax implications for gifting her the site. Any opinion/advice greatly appreciated.
 
Your aunt would be liable to pay
1. Stamp duty on value of the site - if she is you actual aunt (ie not through marraige etc) at half usual rate due to consanguinity relief
2. Capital Acquiistions Tax - ie gift tax. she can in her lifetime receive a gift from a lineal relative (brother, niece, stch) of c. €52,000.00 tax free - balance of the site value taxable at 20%

You will be liable to pay
1. Capital Gains Tax on the market value of the site (less any acquisition value & costs) - @ 20%
 
Fortunately for you Juke in incorrect in what he has told you..... I haven't checked my CAT and CGT rules in awhile but I assume the Same Event Allowance is still in existence?

As far as I'm aware Finance Act 1985 & 86 made CGT payable by reference to an event which gives rise to CAT is available for credit against such CAT. (I.e. this means that CGT will be available for offset against any CAT in so far as it can not cause a capital loss.)

I think there may have been some form of claw-back brought into the legislation in the 2006 Finance Act. I think this claw-back is in relation to property. Where and the same event relief was availed of and then subsequently disposed of within two years, the same event relief would be clawed-back.

Seek professional advice as there may be other reliefs you may be able to avail of.

What age are you? You may be able to avail of some age reliefs.
 
Thanks for that Iceman. I have to confess that this partcular relief is one that escaped me (more through lack of understanding of it's implications:mad:)

I had a look though, and the relevant legistaltion is s. 63 Finance Act 1985

Definately a case where professional advise is needed.
 
Well ye sort of lost me there, but I am 35 and am the only bidder on 6 acres of agriculural land with road frontage for 2 sites at the moment. My intention is to gift my aunt one site and get planning on the other site for myself. Any advice welcome
 
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