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Ireland Inheritance & Gift Tax Guide (CAT)

Ireland's Capital Acquisitions Tax (CAT) applies a 33% rate on gifts and inheritances above group thresholds. Group A (parent to child) is €335,000, Group B (siblings) is €32,500, and Group C (others) is €16,250. Agricultural and business relief can reduce the taxable value by up to 90%. All amounts in EUR.

Capital Acquisitions Tax (CAT) is administered by Revenue and applies to both inheritances and lifetime gifts. For related guidance, see our Capital Gains Guide → and Property Tax Guide →.

CAT Rate 2026

  • 33% — flat rate on the value of gifts and inheritances exceeding the applicable group threshold
  • The rate applies to both lifetime gifts (inter vivos) and inheritances (on death)
  • Gifts and inheritances are cumulated over a person's lifetime for threshold purposes

Group Thresholds (Indexed Annually)

  • Group A: €335,000 — applies to gifts/inheritances from a parent to a child (including step-child, adopted child, and foster child where the child has lived with the parent for 5+ years). Also applies to minor children of a deceased child
  • Group B: €32,500 — applies between siblings (brother, sister, nephew, niece), and between grandparent and grandchild
  • Group C: €16,250 — applies to all other relationships (unrelated individuals, cousins, etc.)
  • Thresholds are indexed to inflation and may change each year (these are 2026 values)

Agricultural Relief

  • Reduces the taxable value of agricultural property by 90%
  • The property must consist of agricultural land, buildings, or related assets
  • The beneficiary must be a "farmer" — at least 80% of their total assets after the gift/inheritance must be agricultural
  • The beneficiary must retain the property for 6+ years (unless certain conditions apply)

Business Relief

  • Reduces the taxable value of business property by 90%
  • Qualifies for business assets such as a sole trader business, partnership share, or shares in a private trading company
  • The business must be a "qualifying business" — mainly trading rather than holding investments
  • The beneficiary must retain the property for 6+ years

Favoured Treatment for Spouses

  • Gifts and inheritances between spouses/civil partners are fully exempt from CAT
  • No threshold limit applies — the exemption is unlimited
  • The dwelling house exemption may apply when a child inherits a parent's home (see Property Tax Guide)

Filing & Payment

  • CAT returns must be filed by 31 October of the year following the gift/inheritance (or 31 December if filing online)
  • Payment is due by the same deadline
  • Late payment interest of 0.0274% per day applies (approximately 10% per year)
  • Penalties for non-filing and late filing range from 5% to 100% of the tax due