Credits you can claim against Capital Acquisitions Tax (CAT)

Unilateral relief

Unilateral relief is a relief from double taxation in respect of gifts or inheritances of foreign property. It is available only where there is no double taxation treaty in place between Ireland and the other country. Relief is allowable in respect of tax imposed by a foreign country on property situated in that foreign country.

The allowable credit is the lesser of:

  • the amount of CAT payable on the foreign property
  • or
  • the amount of foreign tax payable on the foreign property.

The credit can only be granted where the same event (gift or death) gives rise to tax in both countries.

If a benefit comprises both Irish and foreign property, the credit for foreign tax is allowable against the CAT applicable to the foreign property only.

How do you claim Unilateral Relief?

To claim the relief, a CAT return must be filed online through Revenue’s Online Service (ROS) or myAccount. Documentation from the foreign tax authorities should also be submitted in support of your claim.

Next: Prior CAT on the same event