Property and inheritance taxes should be raised, says State’s commission on tax and welfare

cnocbui · 24-09-2024 09:46AM

https://www.boards.ie/discussion/comment/122641003#Comment_122641003

No it is not.

https://www.independent.ie/business/irish/ireland-has-the-highest-death-taxes-in-world/30158169.html

dulpit · 24-09-2024 11:16AM

https://www.boards.ie/discussion/comment/122648687#Comment_122648687

Yes it is. That's a study form 2014 for one thing.

Secondly, why is it okay to get a lump sum that you have not earned and not pay tax on it? Why is it okay to work hard at your job and pay taxes but when you do nothing for it you should pay no tax at all?

conorhal · 24-09-2024 03:11PM

https://www.boards.ie/discussion/comment/122647188#Comment_122647188

Not bonkers at all. My folks bought a house for 7k in the late 60's. They had to emigrate TWICE to keep that roof over their head when times were tough in this country. The roof over their heads is worth probably north of 700k today. Are they rich? No, the value of their home, in which they have lived for 60 years, is immaterial to them as they don't realise any cash benefit from their home without selling it. They also bare no blame and have no baring on the value of their home either. The only reason that the modest, post war, 3 bed semi-D they live in is worth 700k is because the government have mismanaged housing and development in this country so badly that the price (on which you are expected to pay tax) is hugely and artifically inflated, so any tax based on the value of the property is just adding insult to injury.

There should be 0% taxes to pay on a family home in my opinion.

Allinall · 24-09-2024 03:15PM

https://www.boards.ie/discussion/comment/122650064#Comment_122650064

The tax is levied on the person that is gifted/ left the house.

You’re parents circumstances are totally irrelevant.

conorhal · 24-09-2024 03:48PM

https://www.boards.ie/discussion/comment/122650092#Comment_122650092

Their circumstances are far from irrelevant. Both of my folks grew up in poverty, from a small farm holding and a Dublin tenement they both scratched and clawed their way to a middle class lifestyle. They would rather that their kids did not have to struggle to keep a roof over their head the way they did, I endeavour to ensure that the next generation won’t have to worry about any aspect their security at all (and will never be dependent on the state for anything).
The government however seem as determined as you to ensure that everybody lives like neo-feudal serfs, born with nothing but a PPS number and dying with nothing but a PPS number, only after a sufficient number of years spent slaving to ensure they and their cronies can live lavishly of course. Go ahead and continue to destroy generational wealth and see how long the welfare state lasts once middle class has been decimated.

Allinall · 24-09-2024 03:51PM

https://www.boards.ie/discussion/comment/122650225#Comment_122650225

Everyone dies with nothing.

If you or anyone else inherits a house, it is indeed irrelevant how the house was acquired.

On inheritance, it is unearned income, and should be taxed the same as any other similar income.

conorhal · 24-09-2024 04:00PM

https://www.boards.ie/discussion/comment/122650237#Comment_122650237

I assume then you are absolutely opposed to social housing so? I mean why should anybody be housed in a property they didn't earn the money to pay for? Or eat bread they didn't earn the money to pay for either?

You can keep your Pol Pot Year Zero economic philosophy. We don't live in a communist state thank God!

Podge_irl · 24-09-2024 04:02PM

https://www.boards.ie/discussion/comment/122650064#Comment_122650064

There are 0% taxes on a family home - if by family home you mean the person inheriting it is living there and continues to do so.

There is no particular reason there should be 0% taxes on someone else's family home. I'm sorry you'll only get €580,000 value from inheriting a second home, but that still seems like quite a large amount of unearned wealth to inherit.

scwazrh · 24-09-2024 04:12PM

unbelievable that someone is going to get a €700k home that they have in no way worked for and is complaining that they will have to pay out €120k tax for it.Sounds like a great deal to me .

magicbastarder · 25-09-2024 08:40AM

conorhal probably won't have to pay out €120k in tax anyway - he mentioned his parents having 'kids'.

if the house is worth 700k and that's their estate, the most any one child (assuming the inheritance is split equally) will have to pay is about €5k in tax - as they'll inherit €350k each, so will pay tax on the €15k they've gone over the threshold.

if there are three or more children, no tax will be payable.

conorhal · 25-09-2024 09:14AM

https://www.boards.ie/discussion/comment/122651959#Comment_122651959

You make an excellent argument for the total abolition of inheritance tax on family homes in that case since it ammounts to little more than an administrative waste. We should do that.

Peregrinus · 25-09-2024 09:25AM

https://www.boards.ie/discussion/comment/122652078#Comment_122652078

This is an absurd argument. Every single tax has an inflection point at which the taxable amount, and therefore the tax liablity, is low and the costs of collecting that liablity will be disproportionate. If that were an argument for abolishing inheritance tax on family homes then it would equally be an argument for abolishing inheritance tax on other assets since they also might be worth €700k, and it would be an argument for abolishing all other taxes since they, too, will have cases in which the amount due is low and the cost of collecting it disproportionate.

There is a relief from inheritance tax that may apply where you inherit the family home. But the rub is; it has to be your family home. You won't get any relief for inheriting someone else's family home; why should you?

The arguments advanced for tax relief for inheriting property that was the home of the deceased usually revolve around the huge increase in value of residential property over the past decades. But, again, these arguments don't stack up; the notion that you should give inheritance tax relief to people on the basis that they have inherited particularly valuable property is basically the same as the notion that you shoudl give income tax relief to people on the basis that they have unusually large incomes.

magicbastarder · 25-09-2024 09:34AM

IIRC you only have to make a CAT declaration if the inheritance exceeds 80% of the threshold? so not much burden anyway for the vast majority who do not reach that level.

twinytwo · 25-09-2024 10:03AM

https://www.boards.ie/discussion/comment/122646756#Comment_122646756

Forget RTE…its pocket money compared to the amount of money we pay in fines to the EU every year as the government sign up to various commitments and then never do anything about them. Emissions being the biggest one (which hasn't even hit yet) but there are many many more. The amounts are eye watering.

Timistry · 25-09-2024 03:34PM

https://www.boards.ie/discussion/comment/122652247#Comment_122652247

add to the list VRT all the years the UK were in the EU. Ireland Inc. were happy enough to pay the fines every year to keep the vested interests happy

Property and inheritance taxes should be raised, says State’s commission on tax and welfare

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