# Probate tax.ie



## bradshaw (14 Jul 2011)

Hi 
My father was willed a house from his sister. He had to sent in the probate form which stated the house was value at 350,000 euro. Now the house has been sold for 255,000 does my father have to sent in another probate form as I have been told that he will be tax on the first value of 350,000 this doesn't seem fair


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## foxylady (14 Jul 2011)

I would imagine he would onlybe charged tax on the actual amount received.


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## bradshaw (14 Jul 2011)

no just checked he is charged on the 350 what a joke


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## huskerdu (15 Jul 2011)

In a falling property market, this is what happens, unfortunately,

He inherited a house worth 350K. By the time it was sold, it was worth 255K. 
But, on the date of inheritance, it was worth 350K, so that it what the CAT is based on.

It is unfair, as he had no legal right to sell it when it was worth 350K, until probate was granted. 

But, if the house had gone up in value, and he sold it for 400K, he would only
owe CAT in 350K.

Maybe he should be thankful that he inherited a house and move on.


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## bradshaw (15 Jul 2011)

He is thankful and he doesn't care about the money..as he is getting on himself 

He is glad it is sold as it was up to the rest of us (his children) to maintain the house.It was just a worry for him all the time

I just think that it is very unfair


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## 4th estate (15 Jul 2011)

You need to find out what "Valuation Date" was used for this property, and what value was used for that date - the tax return reflects the value at the Valuation Date which is usually the date of Grant of Probate, and not always the date of death value on the Probate papers. If it was valued at 350k at the Valuation Date stage, well that's that. The Valuation Date would be date of death however, if a person lived in the house with the deceased, or held it jointly. 

[broken link removed]

However, if the property was sold a couple of years later, well you couldn't expect Revenue to accept that a house COULD have been sold for 350k on the Valuation Date, but it actually got X euros when it was eventually sold. 

On the other hand if you undervalued for Probate/Valuation Date, and sold later for larger amount Capital Gains Tax would be due. They've got us every which way!

BTW have you checked out the Dwelling House Exemption, he might qualify.

http://www.revenue.ie/en/tax/cat/leaflets/cat10.html


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