Tax on gifted money

darren33

Hi everyone I have saved so much for a mortgage and my brother is happy to gift me 20k on top. Is that tax free as it's my first ever gift or enheritance. Also will my brother be investigated it's clean hard earned money already taxed will he have to sign anything or is it as simple as a straight transfer. Thanks everyone

Jim_Hodge

My understanding is that you'll be liable to tax on anything over €3000 per year.

Pawwed Rig

https://www.boards.ie/discussion/2058241115/tax-on-gifted-money

Make it a 'loan' and have your brother write off €3k of the loan every year. This will allow you keep your group B threshold should you ever have any future gifts or inheritance.

adrianw

Gifts from siblings fall into category 2. The threshold for this group is €32,500 plus annual gift of €3,000.

However, as €20k is less than 80% of the threshold (where it needs to be declared even though no tax would arise) nothing needs to be filed.

The bank will probably ask for him to sign a gift letter but that is the bank's own due diligence / AML.

CreadanLady

Get him to give it to you in cash, and just use the cash for your day to day living, petrol, groceries etc and use the reduced outgoings from your salary or whatever as your savings.