Capital gains tax in Ireland: A friend is going to be gifted a property in Ireland and he's wondering ...?

Question

if they'll be penalized for selling the property right away or if they should wait? Thanks!

Answer 1

Yes, if your friend wishes to avoid capital gains tax, in addition to the inheritence tax he must pay if the property is above a certain value, he will need to hold onto the property for at least 5 years. Also, if he lives in a country or state where the capital gains tax rate is higher than Ireland, he will have to pay the difference to the state where he lives, as well as the Irish capital gains tax. Unfortunately, if the level is lower than here, he will not be refunded the difference! :)