Steven Barrett
Registered User
- Messages
- 5,411
Hi Dan
I have to read up on it more myself. From my understanding, the changes on death applies to PRSA's & RAC's if you died post age 75. It will convert to an ARF in the spouse's name and she has to pay income tax.
The Finance Bill does not contain any inheritance tax exemption for RAC's where the asset is passed to adult children, so they may have to pay 30% tax on receiving the benefit and then it is subject to inheritance tax.
The transitional arrangements is that you have 30 days from the passing of the Act to submit a Benefit Crystallisation Event Declaration.
The advice is mature any PRSA's and/or RAC's before age 75!!
Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)
I have to read up on it more myself. From my understanding, the changes on death applies to PRSA's & RAC's if you died post age 75. It will convert to an ARF in the spouse's name and she has to pay income tax.
The Finance Bill does not contain any inheritance tax exemption for RAC's where the asset is passed to adult children, so they may have to pay 30% tax on receiving the benefit and then it is subject to inheritance tax.
The transitional arrangements is that you have 30 days from the passing of the Act to submit a Benefit Crystallisation Event Declaration.
The advice is mature any PRSA's and/or RAC's before age 75!!
Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)