Inheriting land

eamon11

hello folks,

my father is poorly and has asked me to find out the best(cheapest) way to change ownership of the farm.
If its left in his name till his passing and he names me in his will or transfer now.

tks in advance,

eamon

whelan1

what age are you?

Muckit

11

sweeney1971

A friend of mine was told all his life that when his father died the Farm would be his and his alone. When he got married a letter arrived not long after addressed to what he thought was his wife. His wife sharing the same initial as his father. On his wife opening the letter and found out by mistake it was to his father. The letter contained a copy of his fathers Will.
His father had left everything to his oldest son and daughter. With a mention of my friend that he could only 'live' at the farm until my friend died and all the farm then would go back to the oldest son and daughter.
So it other words my friend and his wife would have sank money, time and energy into the farm only for my friends brother and Sister to benifit. My friends wife being kicked out on the street.
My friend eventually 'bought' the farm off his father.

The moral of this story is ' A Will without your knowledge can be changed at anytime' A set of Deeds with your name on them cannot ever be changed without your knowlege.

Get the farm in your name as soon as you can.

eamon11

tks lads,

anyone know if any inheritance tax etc. has to be paid if the land is inherited?

KCTK

eamon11 wrote: »

tks lads,

anyone know if any inheritance tax etc. has to be paid if the land is inherited?

What you are probably asking about is Capital Acquisition Tax and the short answer is that it does not really make a difference when transferred from a CAT perspective, but if you qualify for agricultural relief, have not taken a gift from a parent previously then you will not suffer CAT if the farm is valued at less than €2.5m. This link should give you a bit of guidance from the Revenue website http://www.revenue.ie/en/personal/circumstances/bereavement/inheritance-tax.html

Your father should be able to avail of retirement relief if transfered at this stage so Capitals Gains Tax should not be a problem (once he is over 55)

If you are not a young trained farmer you will suffer stamp duty at 1% (reduced from 2% due to consanguinity relief), if you are a young trained farmer then no stamp duty.

Main piece of advice I would give you is to contact a good local tax consultant(or accountant) or your solicitor before you do anything, you can explain everything to them and they will be able to advise you properly taking in everything for your circumstance.

Also sorry to see you having to post such a question under such circumstances.

brian_t

KCTK wrote: »

This link should give you a bit of guidance from the Revenue website http://www.revenue.ie/en/personal/circumstances/bereavement/inheritance-tax.html

.

According to that link Inheritance Tax is 25%

But it went up in the last budget to 30%
http://www.knowyourtax.ie/tax-consultancy/gift-inheritance-tax/

I fully agree that the OP and his father need to take professional advise before making a decision.

Farmer Pudsey

OP if you are seeking professional advice from a solicitor or accountant make sure to find out the cost first.

Even though what you find out may sound complicated it is a straight forward process. It should not cost a fortune however if you do not ask the cost you are at the mercy of wolves and they can and will charge what they like.

Thjey will give you a cost plus vat and try then to add on costs for serches, sundries, photocopying, postage and god knows what else. These should all be included in price any government tax or duty is extra.

It amazes me about solicitors the way they try to charge it would be like a builder giving you a price to build a house and then billing you seperatly for the blocks,cement timber etc.