It's how families help with a deposit or college costs over several years without touching the larger lifetime thresholds. It applies only to gifts from living people, not inheritances.
Quick facts
- Per giver, per year
- €3,000
- Two parents
- €6,000 a year
- Counts toward lifetime threshold
- No
- Return needed
- No
- Inheritances
- Not covered
- Year
- Calendar year
How it works
"Gifts you receive up to the value of €3,000 from any person in a calendar year are exempt from Capital Acquisitions Tax (CAT) ." You can get gifts from several people in the same year, and "the first €3,000 from each disponer is exempt from CAT."
"Gifts of €3,000, as outlined above, are not taken into account in computing tax and are not included for aggregation purposes." So they don't eat into your group threshold, the bigger lifetime amount you can receive tax-free from a parent or relative.
The limits
"This small gift exemption applies only to gifts and not to inheritances." Anything above €3,000 from one person in a year counts toward your threshold.
"A CAT Return is not required to claim the Small Gift Exemption for annual gifts of up to €3,000." You only file when a gift's taxable value passes 80% of your group threshold.
Common questions
How much can you gift tax-free in Ireland?
Up to €3,000 per person, per calendar year, under the Small Gift Exemption, from each person giving.
Can both parents give me €3,000 each?
Yes. The first €3,000 from each giver is exempt, so two parents can give €6,000 a year between them.
Does the small gift exemption apply to inheritances?
No. It applies only to gifts, not inheritances.
Do I need to file a return for a €3,000 gift?
No. A CAT return is not required to claim the exemption on gifts of up to €3,000.
- €6,000 — two parents × €3,000 each = €6,000 a year