Your Capital Gains Tax

If you are selling or disposing of a property or other asset, or have recently done so, we can advise and assist you on Capital Gains Tax (CGT), including expert advice on your CGT liability.

It is often possible to reduce your CGT liability by claiming an appropriate relief, such as

  • Retirement Relief,
  • Entrepreneur Relief
  • Principal Private Residence Relief.

These reliefs can be very valuable, but they are each subject to a range of terms and conditions, and if you breach any of these, you can easily lose out.

It is therefore essential to know exactly where you stand in relation to each possible relief, as early as possible.

If you are self-assessed for Income Tax, your Capital Gains Tax return forms part of your annual Form 11 Income Tax return, although the calculation and payment procedures for Capital Gains Tax differ in many respects to Income Tax.

If you are not self-assessed (eg a PAYE worker or pensioner) you must instead complete a Form CG1 Capital Gains Tax Return.

The due date for filing a Capital Gains Tax Return is 31 October annually.

The deadlines for payment of your CGT liability are as follows:

  • 15 December for disposals in the period January-November each year.
  • The following 31 January for disposals in the month of December.

An integral part of our Capital Gains Tax Return service is the quality, expert advice and guidance we are committed to offering you. This includes:

  • helping you in advance of the transaction, to plan and arrange your disposal in the most tax-efficient manner possible;
  • reviewing your circumstances to find out if you may be eligible for any CGT relief or exemption, and what you may do to secure them.
  • methodically and correctly calculating your liability, taking into account all relevant factors, using processes purposely designed to withstand any future Revenue enquiry or audit; and
  • helping you throughout the process to keep your liability to the minimum.

CGT for Non-residents – The Letter of No Audit

If you’re non-Irish resident, and selling or disposing of a property here, there are special rules that affect you.

Basically the solicitor acting for a non-resident vendor is prohibited from distributing the net sale proceeds to them until they obtain a “Letter of No Audit” from Revenue. This is a letter to confirm that Revenue are happy with the Capital Gains Tax Return and Computation submitted to them and that they do not intend to carry out an audit of them.

So instead of filing a CGT return and paying the CGT liability later in the year, as would be quite sufficient if you were resident here, this places an urgent imperative on you to have your return prepared and filed with Revenue, along with supporting computations and documentation, as soon as possible after the sale closes.

We have an excellent track record in obtaining Letters of No Audit for non-resident customers. If you require one, contact us today.