Capital Gains Tax liability

E

erin67

Guest
I purchased a flat a couple of years ago in my own name. Since then my son has moved in to the flat and I would like to hand the deeds to him.

Will I have to pay the Capital gain accrued in the property over the last 2 years?
 
Was the property ever your PPR (Principal Private Residence) or was it always an investment?
 
It was always an investment as a property rental.
 
Then the transfer to your son will presumably trigger a CGT liability on the full gain (market value at the time of transfer versus original acquisition cost) over that time (less the usual allowable costs and exemptions)? Are you asking if there is any exemption/allowance because the property is being transferred to your son specifically rather than another buyer?
 
Yes although my gut feel was there wouldn't be. Someone had mentioned it as a family gift and a 7 year rule but I didn't think that would be the case. I also have some other properties and I am facing the same situation as I am wanting to put them into 3 different names to minimise CGT in future as I'll get 3 exemptions and then pay (presumably) 18% on the profit.
 
You should probably get professional taxation advice in such circumstances. But in the meantime have you checked out the summary CGT and related guides/info on www.revenue.ie ?
 
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