Property dive and taxman slash value of inheritances - → independent.ie/business/pers … 79200.html
The old hill farmers where I grew up maintained family order by keeping the will in one pocket and a fountain pen in the other for punitive codicils. - they also tended to outlive at least one child out of pure spite and there was always the fear of how much they’d leave to the parish!
The other thing they tend to do is they call the oldest the same name. This means there is no messy inheritance to deal with.
A solicitor friend of mine was dealing with a sale in Galway when it transpired that the property had passed through 4 generations of lets call him “John Bull” all 4 generations had the name “john Bull” at each death the property transferred to “John Bull” but no messy probate or revenue needed to be dealt with.
The deeds where in “John Bulls” name, you get where this is going. No inheritance tax was ever paid at any point nor were the assets ever formally transferred at any point.
If “John Bull” ever needed to prove ownership he just produced a passport, two utility bills and the deeds. job done.
Must have been a blow-in!
I’d only worry if it was found to be transferred to Thomas Byrne!
Bit of a lazy article. Nothing new in it.
We all know property prices are down, as are the CAT/CGT thresholds. We also know CAT/CGT rose to 33%.
It should have a effect on the market, especially the trader ups. I would expect.
Inheritance is the most likely way to come into a lump sum.
Would the deeds not be signed/dated before John Bull was born?
I suspect that this worked in the past. I doubt John Bull the fifth will be able to pull the same trick though
it only matters if you’re selling/moving. Just like negative equity!
Ah come on. The conclusion that because the value of the property you inherit going down in value means the value of your inheritance is reduced is complex and susceptible to significant error. I’m glad that the Independent weighed in to put to rest this mind bending conundrum for me. I am now a committed subscriber for life.
Saved me the bother of bumping off at least one elderly relative.
Patience … Patience!
All things come to those who wait … where there’s a will there must be willingness!
I intend to make a video will meself:
It shall begin with a scene-setting panning shot.
"Hello everybody, you may wonder why I am standing here talking to you from outside the ISPCA Dog Shelter … "
Value of inheritance down between 40 and 60% (or let’s call it 50% for simplicity). Tax free amount down 50% (no need for simplicity there…
Now, “The taxman too is getting a bigger chunk of people’s inheritances.” appears to be bullshit, no?
By the way, what was the inheritance tax free amount in our reference year of, say, 2001?
Edit: Thresholds are currently very close to how they were in 1995
I assume the “Fair Deal” is having an impact here as well.
The spouse is not mentioned in those thresholds?
Am I missing something?
Spouses are threshold-exempt, a fact that businesspeople facing impending bankruptcy can find very useful.
Thanks Guys! Good to know.