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  • FIRST POST
    • krudmonkey
    • By krudmonkey 13th Nov 17, 10:40 AM
    • 1Posts
    • 0Thanks
    krudmonkey
    inheritance - tax help
    • #1
    • 13th Nov 17, 10:40 AM
    inheritance - tax help 13th Nov 17 at 10:40 AM
    Hi,
    I'm new to the forum, and am hoping you guys can help.
    It's quite a complicated situation so please bear with me...

    One of the key things to bear in mind is that I'm based in Ireland.

    4/5 months ago my grand aunt in Australia passed away. She left me quite a considerable chunk of money (~$72,000AUD). This equates to ~€52,000 - a lifechanging amount for my wife and I as it'll be going towards a deposit at some stage. Since then the money has been held in currencyfair until the exchange rate improves, so I'm not technically in possession of the money yet.

    The issue I have is that, under Irish law, roughly €12k is owed to the government as inheritance tax. In fact, this was due last week. Since the money isn't in my possession yet I haven't paid any tax.

    Here's where it gets complicated...
    I moved from the UK last year and there's a chance I'll be moving back again quite soon. Were I UK based I wouldn't have to pay this tax. I still have my accounts open there. Part of me (really) wants to transfer the $$ to my UK accounts until I know what my next steps are. However under Irish law I'm liable for the taxes already.

    Can anyone advise on next steps or potential options? If the money is transferred to the UK, is there a way the Irish Revenue can find out?

    If I do just transfer the money to my Irish account and pay full tax, am I now liable for a large fine as it's late? Or could I just transfer it in a few months and say I'd just received it and so it's for the 2018/2019 tax year? It's me paying full tax... just late (as technically I don't have the €€ yet)...

    To be clear - I'm not a scrounger looking to avoid tax, however I am looking to avoid paying unnecessary tax and wondering if there's anything I can do to minimise the amount I have to pay to the Irish Revenue.

    Thanks guys. Hope what I've posted isn't a grey area legally, if so, please feel free to remove it mods!
Page 1
    • 00ec25
    • By 00ec25 13th Nov 17, 12:20 PM
    • 5,382 Posts
    • 4,732 Thanks
    00ec25
    • #2
    • 13th Nov 17, 12:20 PM
    • #2
    • 13th Nov 17, 12:20 PM
    you need an Irish tax forum
    • xylophone
    • By xylophone 13th Nov 17, 1:01 PM
    • 23,464 Posts
    • 13,640 Thanks
    xylophone
    • #3
    • 13th Nov 17, 1:01 PM
    • #3
    • 13th Nov 17, 1:01 PM
    However under Irish law I'm liable for the taxes already.
    Then you know the answer?

    https://www.revenue.ie/en/gains-gifts-and-inheritance/gift-and-inheritance-tax-cat/index.aspx
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