Capital Gains Tax (CGT) is a tax on gains arising on the disposal of assets.

A disposal means a transfer of ownership in an asset whether by means of sale, gift, exchange or otherwise and includes a part disposal of an asset.

If you have made a gain on the disposal of assets between 1st January and 30th November, you must pay the capital gains tax by 15th December. The rate of tax will be 33%.

If you have made a gain on the disposal of assets between 1st December and 31st December, you must pay the capital gains tax by 31st January. The rate of tax will be 33%

for gains made.

What are regarded as Assets for Capital Gains Tax purposes?

All forms of property are assets for CGT purposes whether situated in or outside the State. Examples of assets are:

  • Land & Property
  • Shares
  • Goodwill
  • Currency, other than Irish currency

The following are some of the reliefs and exemptions that can be availed of:

  1. Relief for the cost of the asset and the cost of disposal of the asset.
  2. Loss relief – any Capital Gains Tax losses in the year of disposal or unused from previous years.
  3. Losses incurred by your Spouse.
  4. Principal private residence relief – Sale of your home.
  5. Retirement relief on the sale of a Business or for sale of shareholding in family run company – Current limit is €750,000.
  6. Relief on the disposal of a business or shares in a family company, to a child – No limit.
  7. Relief on the transfer of assets from a Sole Trader to a Limited company on incorporation.
  8. Relief on transfer of assets between spouses when living together.

The above reliefs are available subject to various conditions and professional advice should always be taken.