Transfer of assets before death
20/11/1997
Query
Whether, in view of the decision in Lynch v Burke Revenue can overturn a transfer of assets made prior to death where there is insufficient assets in the deceased person's estate to meet tax liabilities
Decision
It appears that Revenue would have a number of defences in cases where conveyances other than for good consideration were made to defeat Revenue claims, notwithstanding the Supreme Court decision in that case. In particular, in the case of a transferor who is still alive, it seems that resort to the Bankruptcy Act would enable such voluntary transfers to be overturned, where the transfer had been made in the previous five years. The Conveyancing Act 1634 could also be used to set aside such transfers.
Income Tax
Section 799, Taxes Consolidation Act, 1997
Origin: RLS Division
File ref:IT972011