Declaring Inheritance

A

aamposter

Guest
Hi all 1st time poster. Hopefully you can help me with a tax question.

Myself and my other sister have inherited a plot of land abroad that was in our family for ages. I am not at all confident that it was ever declared to Revenue, there is no income from it, it's just land but it is worth a bit of money now. We would like to declare it, sell it and pay our taxes so that we can us the money to get on the property ladder here.

However we are a bit worried about what our tax treatment will be on this asset. Will we just have to pay our own inheritance tax on the current value of the land or will it be plundered by Revenue first for the sins of the father so to speak?

Many thanks.
 
Was the land included on the Schedule of Assets declared to Revenue when applying for Grant of Probate?
 
Hi Graham, I don't know that answer I wasn't involved in any of that. We were just told recenty that it was left to us in a foreign will not the Irish will.
 
There are a lot of considerations here then. Some of which would be
- was the deceased domiciled / resident here.
- would the foreign asset be relevant for Irish Revenue purposes.
- is there taxation involved in the foreign jurisdiction
- if taxation is relevant in both the foreign jurisdiction and in Ireland is there a double taxation agreement between Ireland and that jurisdiction.
Also, Irish inheritance tax (C.A.T.) has territorial limits depending on status of the deceased and the recipient.
This is before going into the possible (hopefully not) involvement of Irish Revenue on the means by which the foreign asset was originally acquired or utilised.

Unfortunately answers to these would only be obtained from a proper investigation of the facts and in that case a consult with a tax advisor would be advisable before taking any steps.
 
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