inheritance tax on 650e ????

lennyloulou

Just recieved a letter from a local solicitor. An elderly neighbour left me 650e in a will....totally unexpected and very welcomed!
I have a form to fill out and send back to them- that asks me did I get a gift or inherit anything/money since 1991.
I recieved my parents run down house a few years ago as a gift... It was very run down and worth 120,000e max. I did not pay any inheritance on this property.
Do i state this in my form that i have to fill out??
Will I end up paying inheritance tax on 650e?

CIARAN_BOYLE

I'd write it down so that you can't be accused of lying but afaik it won't affect anything since I believe that receipts from parents don't count towards the treshold

Delancey

My understanding is that the only gifts that do not count towards any threshold are those between spouses , to my knowledge a gift from Parent to Child may be taxable

Victor

lennyloulou wrote: »

Will I end up paying inheritance tax on 650e?

Assuming what you received from your parents is the only thing, then it is unlikely. http://www.citizensinformation.ie/en/money_and_tax/tax/capital_taxes/capital_acquisitions_tax.html

purpleglory

You probably won't have to pay any inheritance tax. You have a threshold of circa 16500 euro worth of inheritances from non relations and distant relations. Assuming that you have not received other gifts from other strangers you should still have this intact.

The gift you received from your parents counts towards a different category and is of no relevance for tax purposes here but you should still mention it on the form that you were sent.

mrs vimes

Sounds like a standard-type letter from the solicitor.

Contact him and point out that as the amount is less than the small gift exemption (a person can receive up to 3,000 per annum from any other person) it does not count towards any thresholds and so he does not need to know whether you have previously received any such gifts.

purpleglory

No advice is better than bad advice on occasions. SGE won't apply here OP given the fact that your not getting a gift.

lennyloulou

Many thanks for all your advice..... am going to buzz the solicitor now

mrs vimes

Thanks, purpleglory, never realised before that there was any difference between gifts and inheritances (prob because they're both CAT).

Are you aware of any others?

Jev/N

mrs vimes wrote: »

Thanks, purpleglory, never realised before that there was any difference between gifts and inheritances (prob because they're both CAT).

Are you aware of any others?

There are many AFAIK- one for example relates to claiming dwelling house exemption and conditions thereto

Anyway, it's completely off topic for the OP's purposes