Declaring inheritance

Alun

I'm due to receive an inheritance from the UK, which falls below the amount where I would need to pay CAT, but do need to declare this somehow, and if so how?

There's a slight complication in as much as the amount will be paid out in two instalments, as part of the inheritance is the proceeds of a house sale which is being delayed by the Covid-19 outbreak. Can I wait until the whole amount has been received, or should I declare each amount separately?

Calahonda52

Hope all is well with you.
It's all self assessment now so are you on the revenue site either under ros or my account or what ever it is called?
IIRC if you get more than 80% of the relevant threshold, you need to make a return.
Let me look.

https://www.revenue.ie/en/gains-gifts-and-inheritance/completing-your-gift-or-inheritance-tax-return-it38/how-do-you-know-if-you-should-file.aspx
yes 80%
You need to make two returns as you cant pay tax on what has not been received.

more detail here
https://www.revenue.ie/en/gains-gifts-and-inheritance/cat-thresholds-rates-and-aggregation-rules/index.aspx

Alun

It won't even come close to 80% of the threshold so no need to do anything then?

Calahonda52

Alun wrote: »

It won't even come close to 80% of the threshold so no need to do anything then?

.
Just keep a record of the amount under the specific threshold for future reference.
.
So we not see a bigger bowl turned:D

GinSoaked

Slightly off topic but in line with inheritance if a large sum but still under the 80% rate is paid into a bank account the bank is obliged to report the amount to revenue afaik so won't revenue send out a tax form anyway?

Calahonda52

GinSoaked wrote: »

Slightly off topic but in line with inheritance if a large sum but still under the 80% rate is paid into a bank account the bank is obliged to report the amount to revenue afaik so won't revenue send out a tax form anyway?

Not the anyway, it depends on what the mainframe says when it receives the feed from the bank.
The analytics they do is stunning in its breath and depth.
If they send out a form, it may just be part of their sampling to ensure compliance and also an in the field check of the analytics.