Capital Acquisitions Tax, Finance Act 2007
- CHAPTER 1 PRELIMINARY
- 1.0 Introduction to Capital Acquisitions Tax
- 1.01 Tax the donor or the recipient?
- 1.02 Exempt threshold
- 1.03 CAT and IHT compared
- 1.04 CAT in the Republic of Ireland
- 1.05 Indexation
- 1.06 Rates of CAT
- 1.07 Benefits acquired by persons in two or more categories
- 1.08 Discretionary trust taxes and probate tax
- 1.1 Short Title
- 2.0 definitions
- 3.0 Further definition
- CHAPTER 2 GIFT TAX
- 4.1 Gift Tax
- 4.1.1 Charge to gift tax
- 4.1.2 To be computed in accordance with CATCA ....
- 4.1.3 Taxable value
- 4.1.4 Taxable gift
- 4.1.5 Taken by a donee
- 4.1.6 Date of gift
- 4.1.7 Gifts and inheritances
- 5.1 Taking a Gift
- 5.1.0 When a gift is taken
- 5.1.1 Under any disposition
- 5.1.2 Beneficially entitled in possession
- 5.1.3 Otherwise than on a death
- 5.1.4 To any Benefit
- 5.1.5 Full consideration paid by donee
- 5.2 Calculation of Slice
- 5.3 Foreign Source
- 5.4 Annuities Provided by Relatives
- 5.5 Appropriate Part
- 5.6 Incomplete or Unenforceable Transfer
- 5.7 Transfer of Shares in Private Company
- 6.0 Taxable Gift
- 6.0.0 Territoriality rules – Taxable gifts
- 6.0.1 Disponer
- 6.0.2 Date of disposition
- 6.0.3 Proper law of the disposition
- 6.0.4 Locality of assets
- 6.0.5 Locality of assets: Double taxation relief
- 6.0.6 Residence and ordinary residence
- 6.1 Details
- 6.2 Gifts Taken Where Disposition is On or After 1 December 1999
- 6.3 Location – Proceeds of Sale
- 6.4 Non-Irish Domiciled Disponers Or Donees
- 6.5 Anti-Avoidance
- 7.1 Joint Tenants
- 8.1 Connected Dispositions
- 8.1.1 Gift splitting
- 8.1.2 Second gift first
- 8.1.3 Is middle gift ignored?
- 8.1.4 Date of gift, date of disposition
- 8.1.5 Gifts only
- 8.2 Escape Clause for Genuine Cases
- CHAPTER 3 – PART 1 INHERITANCE TAX
- 9.1 Inheritance Tax
- 10.1 Inheritance Deemed to be Taken
- 10.2 Slicing Rules to Apply for Inheritance Tax
- 10.3 Foreign Source Rules to Apply for Inheritance Tax
- 10.4 HTransfer of Shares in Private Company
- 11.1 Territoriality Rules – Taxable Inheritances
- 11.1.1 Inheritances taken under a disposition before 1 December 1999
- 11.1.2 Property situated in the state
- 11.2 Inheritances Taken Under a Disposition On or After 1 December 1999
- 11.4 Non-Irish Domiciled Disponers or Successors
- 11.5 Anti-Avoidance
- 12.0 Disclaimer
- 12.1 Categories of Benefits Eligible for Disclaimer etc..
- 12.2 Disclaimer not a Disposition
- 12.3 Consideration
- 13.1 & 13.2 Joint Tenants
- CHAPTER 3 – PART 2 TAX ON DISCRETIONARY TRUSTS
- 14.0 Overview and Historical Perspective
- 14.1 6% Charge – Interpretation
- 15.1 Details of the 6% Charge
- 15.1.1 Charge to the 6% tax
- 15.1.2 Date of deemed inheritance
- 15.1.3 Territoriality
- 15.1.4 Commentary
- 15.2 Property Subject to Discretionary Trust on 25 January 1984
- 15.3 Property Subject to Discretionary Trust on 31 January 1993
- 15.4 Interests in Expectancy or Policies of Assurance
- 15.5 Avoidance of Double Charge to 6% Tax
- 16.1 Application of other Provisions to 6% Charge
- 17.1 Exemptions for Certain Discretionary Trusts
- 17.2 Other Exemptions
- 18.0 Computation and Rate of the Once-Off Charge
- 18.1 definitions
- 18.2 Rate of Tax
- 18.3 Reduction in 6% Charge
- 18.3A Finance Act, 2007 Amendment in Relation to Discretionary Will Trusts
- 18.4 Two or More Persons Beneficially Entitled
- 18.5 No Interest
- 19.0 The 1% Annual Charge
- 19.1 definitions
- 20.1 Charge to the 1% Tax
- 20.2 Anti-Avoidance: Interest in Possession
- 20.3 Interests in Expectancy or Policies of Assurance
- 20.4 Avoidance of Double Charge to 1% and 6% Taxes
- 21.1 Application of other Provisions to 1% Charge
- 22.1 Exemptions
- 23.1 Rate of Annual Charge
- 24.1 to 24.3 Valuations to Remain for Three Years
- 25.1 Penalties
- 25.A Conclusion
- 25.B Scope of CAT – Diagram
- CHAPTER 4 VALUE OF PROPERTY FOR TAX
- 26.1 Unquoted Shares/Securities Defined
- 26.2 Market Value
- 26.3 Forced Sale
- 26.4 Revenue Valuer and Inspection
- 26.5 Cost of Valuation
- 26.6 Purchaser's Knowledge of Facts – Unquoted Shares
- 26.7 Appeals
- 27.0 Value of Shares in Private Trading Companies – Overview
- 27.1 definition
- 27.2 Value of Shares in Controlled Private Company
- 27.3 Company Controlled by Donee or Successor
- 27.4 Control
- 28.0 Calculating Taxable Value – Overview
- 28.1 Incumbrance-Free Value
- 28.2 Taxable Value
- 28.3 Discounting for Deferred Payment of Liabilities
- 28.4 Limited Interests
- 28.5 Prohibited Deductions
- 28.6 Consideration and Foreign Element
- 28.7 No Double Allowance
- 28.8 Right of Residence etc..
- 28.9 Right of Residence
- 28.10 Consideration Paid for Future Interest
- 28.11 Allocation of Liabilities
- 29 Contingencies
- 29.0 Overview
- 30.0 Valuation Date – Overview
- 30.1 Valuation Date for Gift
- 30.2 Inheritances – Exceptions to General Rule
- 30.3 Further Exception to General Rule for Inheritances
- 30.4 General Rule – Valuation Date for Inheritance
- 30.4A Valuation Date for the 6%/ 3% Discretionary Trust Tax
- 30.4B Valuation Date for Annual Discretionary Trust Tax
- 30.5 Different Valuation Dates in Same Estate
- 30.6 Determination of Valuation Date
- 30.7 Exception to General Rule for Gifts
- 30.8 Agreement with Revenue
- 30.9 Appeal
- CHAPTER 5 TRUSTS, FREE USE OF PROPERTY
- 31.0 Overview
- 31.0.1 Introduction
- 31.0.2 Discretionary trusts
- 31.0.3 Transfer into discretionary trust
- 31.0.4 Appointment of trust funds
- 31.1 Discretionary Trusts – Gift or Inheritance
- 32.0 Disposal of Limited Interests – Overview
- 32.1 Dealings with Future Interests
- 32.2 The First Charge
- 32.3 The Second Charge
- 33.1 & 33.2 Advance Termination of Limited Interest
- 33.3 Double Charge
- 33.4 Release of Disponer's Self Created Limited Interest
- 34.0 Anti-Avoidance – Settlement of Reversionary Interest
- 34.1 definition of Event
- 34.2 Charge
- APPENDIX 1 DEFINITIONS
- APPENDIX 2 OFFICIAL RETURN FORMS/ CERTIFICATES OF CLEARANCE
- APPENDIX 3 PAYMENT BY SECURITIES
- APPENDIX 4 SECURITIES EXEMPT FROM CAPITAL ACQUISITIONS TAX
- APPENDIX 5 SUCCESSION ACT 1965
- APPENDIX 6 UK INHERITANCE TAX
- APPENDIX 7 POSTPONEMENT OF TAX AND REGISTRATION OF CHARGE
- APPENDIX 8 SECTION 60 POLICIES: SECTION 119 POLICIES
- APPENDIX 9 INDEXATION
- APPENDIX 10 TABLE OF RATES
- APPENDIX 11 GROUP THRESHOLDS