I'm wondering if my father is allowed to gift me 25,000 per annum, and I then use that to employ and pay the carer each month?
I don't get this.
If your father has the funds to directly emply a carer; then, why doesn't he?
What's the point in giving it to you to give to them?
His only income is some state pension.
My main question is from a revenue point of view, am I allowed to use the gift from Dad to pay for his carer,
and then can I claim the tax relief, which would be 40% ?
You need to discuss this with your accountant.
A less obvious but similar strategy might be advised depending on your own and your father's situation.
I don't get this.
If your father has the funds to directly emply a carer; then, why doesn't he?
What's the point in giving it to you to give to them?
Thanks, but I understand how the fair deal scheme works regarding the 5 year rule for the means test.Revenue have a good explanation here of how the tax relief works
Amount of relief
You can claim tax relief if you employ someone to take care of an incapacitated relativewww.revenue.ie
bear in mind, if you apply for Fair deal further down the line, any "gifts" for the previous 5 years will almost certainly be included in their calculation
so the big issue is will you be hit with CAT for all or some of what your Dad will give you.
I told you the answer to this yesterday.But my only question for now relates to private home care:
From a revenue point of view, Am I allowed to use the money gifted to me from Dad to pay for his career, and then can I claim the tax relief, which for me would be 40% ? As I said above, if Dad pays for the career, Dad cannot avail of the 40% tax relief, because he is over 65 and his only income is a portion of the state pension, thus he is exempt from income tax.
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