Budget 2012 - Capital Acquisitions Tax

Rate of tax

The rate of tax has been increased from 25% to 30%. The new rate of tax of 30% applies to gifts and inheritances taken on or after 7 December 2011.

Tax-free thresholds

The Capital Acquisitions Tax Group A tax-free threshold has been reduced from €332,084 to €250,000. The reduced tax-free threshold of €250,000 applies to gifts and inheritances taken on or after 7 December 2011.
The Group B tax-free threshold of €33,208 and the Group C tax-free threshold of €16,604 both remain unaltered.

The tax-free thresholds that apply to gifts and inheritances taken on or after 7 December 2011 are therefore as follows:

Group A €250,000	Applies where the beneficiary is a child (including adopted child, step-child and certain foster children) or minor child of a deceased child of the disponer. Parents also fall within this threshold where they take an inheritance of an absolute interest from a child.
Group B €33,208	Applies where the beneficiary is a brother, sister, niece, nephew or lineal ancestor or lineal descendant of the disponer.
Group C €16,604	Applies in all other cases