Brilliant article. Can clearly see why some young people still vote ffg. Their failures aren't as apparent when mammy and daddy sort out all of your financial issues, including housing...
What does that matter to the state? Does Leo ring you up and tell you how to spend your Confirmation money?
Well it is a bit strange that you balk at the thought of having to pay 75k, but don't consider the 550k+ that would be needed to buy out the other person in your imaginary situation
Doesnt matter what the mortgage is secured on, they are now paying for the fact that someone gave them a gift in their will.
I’m not making any assumptions about anyone’s ability to pay tax on the value of their inheritance. Whatever arrangements anyone makes among themselves is a matter between themselves and the State which is entitled to collect any taxes due.
Buying out the other person would be a decision taken if so wished, paying the €75K isn't a choice.
And where will the state be if the value of the property plummets in 3 or 5 or 10 years time?
I think acquiring an asset of over 1m in unearned income and only having to pay 10% is a good deal. 1. They haven't earned this money at all, and 2. The house was built by their grandparents, so at least 95% of the value in the house that they are now inheriting is appreciation over many years, which neither op or their grandparents were responsible for.
Bear in mind they are clearing 950k+ after tax, based purely on the lottery of their postcode and the lottery of who their grandfather was - I think that's very generous
He's getting 650k on propert which his family worked for and paid taxes on and now the government can double dip.
As Count Dracula said above, something to the effect of "people wanting to live off other's work and money"
So you're not able to answer the question.
Why am I not surprised?
The state likely made a significant contribution to the value of that property through building of infrastructure etc.
The poster did nothing other than be born. State had far more of a hand in generating that wealth than the poster did.
The whole ‘double dipping’ argument with inheritance taxes is childish nonsense. All money is taxed infinitely and nearly always when it passes from one person to another. It’s how countries work but only gets brought up with inheritance for some bizarre reason.
I say all this as someone who’s family home is worth much much more than the posters. I’m bemused at how low my likely inheritance tax bill will be relative to the income tax I pay on money I actually feel like I deserve.
So the problem is that they won the lottery but you didn't?
Hos does this compare to winning the lottery of getting a free house from the state for life?
I didnt answer it as, as explained in my answer, its irrelevant to the discussion. You might as well have asked what colour they were going to paint the walls.
If they sold it then they should pay CGT, but that would be their choice.
And yet you don't see the irony of the fact that you want your cut in taxes?
It's 100% relevant in the scenario when you give the poor mouth that a little bit of tax is preventing you from doing something or forcing you to do something you don't want to do. When in reality it will do neither.
I'd say whatever tax you pay in your lifetime won't be a patch on what I pay dude.
Even if you do inherit a few houses
Gah.
You are missing the whole point! Other than pure begrudgery it shouldnt matter one iota whether the person in receipt of the gift is rich or poor, destitute or living in a palace.
Why do you say "in reality it will do neither"? Is that because you still assume the person inheriting is automatically loaded? The begrudgery and jealousy on this thread is unreal tbh.
Would your opinion be different if the person getting the house was currently homeless? How about if the house was only worth €400K
Whats so special about €350K that you are ok with but not a penny more? Can you elaborate on why €350K gives you the warm and fuzzies but not €500K or €1M?
Or how about why I could inherit a 6 bed mansion somewhere outside of Dublin and not pay a penny but a 3 bed semi-d in Dublin would have me owing the tax man?
1. They still won the lottery - I.e. 950k for doing nothing.
2. Nobody gets a free house from the state for life. Not sure why you are inserting it into this conversation either
You have to realise that inheritance tax is extremely fair - you can argue about the levels of tax free allowance, or the rates after tax free allowance, but the principle is v fair. Nobody should be allowed to hand down 100% of wealth, in perpetuity,
Well at least now we all know the level of poster we are were talking to.
Off to bed with you now bubbles.
To be fair, you've admitted you would struggle with a 75k bill if you inherited 600k worth of property.
Again avoiding the simple question.
You haven't explained what this 75k bill is stopping you from doing or forcing you to do compared to if it did not exist.
So no one is living in a house thats provided by the state? Let me guess, they pay for it with HAP thats also provided by the state?
There are many people in Ireland who would be worse off than they are now if the did indeed win the lottery. A certain individual by the coincidental name of Cash rings a bell.
I don't disagree with paying something, but it should be when you cash out (sell in the case of an asset) and it shouldn't be 35%.
The idea that there would be thousands of houses belonging to some small group of families is just scaremongering imo. Even just looking at the basic maths, 1 parents house into 3 children is immediately diluting the gain of each household. Unless you are royalty and inter marrying, they money isnt staying in some familial estate any more than it is today.
No in fact I didn't, but them I'm not surprised that you chose to read what you want into other peoples posts, you already want to put your hand into their pockets.
Its a bill of €75K due to a gift. Thats the point that so badly eludes you.
g'night now, school in the morning 'n all.
Don't be late. Holidays soon anyway
Yes, they actually should, because the dues on such a property have been paid already. Over and over again.
But I'd accept an actual fair, proportionate and progressive tax, which the current system is in its b0ll0x.
Inheritance tax should be close to 100% past 1 or 2 million euros worth of wealth per benefactor
Or else it should be put in a trust that expires after x number of years. Intergenerational wealth is bad for everyone
Well of you have an issue with hap, social housing or whatever that is irrelevant.
There are too many holes to mention in the "cash out when you sell" model that it would just be another way of avoiding tax for the wealthy.
And also, nobody ever pays 33% on inheritance - if the inheritance is 335k you pay nothing, if you inherit 10m you pay 31% etc etc
Sure inheritance tax is inherently progressive- there is a generous tax free allowance and you pay a sliding scale % (on the overall) over that.
Houses have a sentimental meaning of course but you are inheriting an asset. Replace "house" with "shares" (I.e my Grandfather bought 10k worth of shares in 1970 that are now worth 1m) and its far less emotive
Most children in this Country live off the wealth of their parents, why should I keep working in the years my wage gets better if not to bequeath to my children?
Keep in mind that I might pay enough income tax to help a number of people less fortunate.
