Gifting money to a nephew and his partner - how to do this

[Passport1]

I would like to gift between 5k - 10k to my nephew and his partner who are buying a house from my own personal savings.


Can i just write them a cheque or give them a bank draft or give them it in cash or do i need to get a solicitor involved so that it all legal and above board

Not sure if they would get asked lot of questions or be viewed as suspicious if amount like that appeared in the bank account out of the blue or they rocked up to cash a cheque/bank draft of with that amount in cash

What is best/correct way to approach this ?

Thanks

 

[charlie007]

You can immediately give them €3k each under.... https://www.revenue.ie/en/gains-gifts-and-inheritance/cat-exemptions/small-gift-exemption/index.aspx

 

[Brendan Burgess]

Nothing suspicious at all about getting gifts of this size from a relative.

 

[TomEdison]

Nothing suspicious. Depending on how much is given now and how much other gifts and inheritances nephew and partner have recieved, and from whom, they may have a liablity to CAT on the gift.

As charlie007 points out, you can give each of them €3,000 this year (and every year) and no CAT will arise. If you give either of them more than that there may be a CAT liablity, and you can't know whether there is or not without asking both of them quite a lot of personal questions.

 

[Clamball]

Give your nephew a maximum of €3K, and give his partner a max of 3K. This will not require you or them to consult a solicitor or do anything special. If you do it via direct credit via their bank accounts just record it as gift. If you give each of them a cheque or cash just write a note with it saying here is a gift for you. The great thing is you can do it all again in 2026. No one has any tax liability. Also if you have a spouse they can do the same thing, enabling you as a couple to give a maximum of €12K in one year to another couple. It gets a little complex with 4 transactions but it keeps it all above board and free from tax.

 

[Steven Barrett]

The bank will be more interested in this than the Revenue. You should write a formal letter to your nephew and their partner stating that the amount you are giving them is a gift and not a loan and there is no expectation of the money to be repaid. The bank may also require you to sign a declaration to similar effect but in their own wording.

Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)

 

[blanketyblank]

Do this have to be declared to revenue? Do you put it on your returns?

Do they have to declare they got it?

 

[ClubMan]

Do they have to declare they got it?

Not if it's under the small gift exemption limit or (combined with any other previous relevant gifts/inheritances) under 80% of the relevant Capital Acquisitions Tax group exemption threshold amount.