Dáil Éireann Debate, Thursday - 6 February 2025
59. Deputy Seán Ó Fearghaíl asked the Minister for Finance if he will address the concerns raised in correspondence (details supplied) concerning inheritance tax; and if he will make a statement on the matter. [3674/25]
Amharc ar fhreagraCapital Acquisitions Tax (CAT) is a tax which applies to both gifts and inheritances. For CAT purposes, the relationship between the person giving a gift or inheritance (i.e. the disponer) and the person who receives it (i.e. the beneficiary) determines the maximum amount, known as the “Group threshold”, below which CAT does not arise.
In Budget 2025, the Group A threshold was increased from €335,000 to €400,000, Group B from €32,500 to €40,000 and Group C from €16,250 to €20,000.
You should be aware that there would be a significant cost in making substantial changes to the CAT thresholds such as the one referenced in the question. Therefore any consideration of this type must be balanced against competing demands, and as part of the annual Budget and Finance Bill process.
