I just have a quick question around the calculation of CAT when you have prior benefits in the same threshold. I inherited 40,000 euro from an aunt about 12 years ago when the tax free limit for group B was 45,644 euro. So I was not required to pay CAT.
I have now inherited a share of a house from my uncle – my share after expenses is worth about 30,000 euro
I have checked the revenue website and the supposed calculation is as below.
So on my estimates
a is 33% rate x 70,000 euro (total benefits – new and prior since 2001) equals 23,100
b is 33% rate x 40,000 euro (prior benefits) equals 13,200
c CAT due being a minus b equals 9,900 euro
So is it correct to say I only pay 33% CAT on the new inheritance – and don’t face backdated CAT on the first inheritance in respect the amount (circa 10k euro) in excess of the lower 2016 30,150 euro threshold for group B.
Just wanted to check so I can budget correctly!
I have now inherited a share of a house from my uncle – my share after expenses is worth about 30,000 euro
I have checked the revenue website and the supposed calculation is as below.
So on my estimates
a is 33% rate x 70,000 euro (total benefits – new and prior since 2001) equals 23,100
b is 33% rate x 40,000 euro (prior benefits) equals 13,200
c CAT due being a minus b equals 9,900 euro
So is it correct to say I only pay 33% CAT on the new inheritance – and don’t face backdated CAT on the first inheritance in respect the amount (circa 10k euro) in excess of the lower 2016 30,150 euro threshold for group B.
Just wanted to check so I can budget correctly!