CAT Thresholds: Who Qualifies and What You Get
Learn how tax-free limits work for gifts and inheritances in Ireland so you can manage your assets effectively.
CAT Thresholds are the specific limits that determine how much you can receive in gifts or inheritances before you have to pay tax.
Who it's for
This applies to anyone who receives a gift or an inheritance.
What you get
You receive tax-free thresholds that allow you to accept certain amounts of money or property from parents or other individuals without paying tax on that value.
What it costs you
While there is no direct fee to use these thresholds, you must file a tax return if the value of the gift you receive is more than 80% of the applicable threshold.
The catch to know
There is a "Small Gift Exemption" which allows you to receive up to €3,000 from a single person every year without it counting towards your main thresholds.
How to apply
- Determine the total value of the gift or inheritance you have received.
- Check if the amount exceeds your specific tax-free threshold.
- If the gift is more than 80% of your threshold, prepare a tax return.
- Submit the required documentation to the national tax authority.