Gifts and inheritances

In his will, Tom left his wife Mary his farm. His executors assented (agreed) in writing to the transfer of the farm to Mary.

Stamp Duty is not chargeable. Mary does not file a Stamp Duty return.

Tom and Mary were left a house in equal shares as tenants in common. However, Tom and Mary prefer to hold the house as joint tenants.

Stamp Duty is not chargeable on the instrument transferring the house to Tom and Mary as joint tenants. Tom and Mary do not file a Stamp Duty return.

Tom leaves the family home equally between his three children, Mary, Joan and Patricia. Only Patricia lives in the house. The house is worth €300,000.

Mary agrees to sell her share of the house to Patricia for €100,000. Joan agrees to gift her share of the house to Patricia. Patricia is entitled to one-third under the will.

Stamp Duty is chargeable on the instrument transferring the house to Patricia based on two-thirds of the value of the house, that is, €200,000.

Mary left everything she owned, which included a house, to her four sisters who all lived abroad. An elderly cousin lived alone in the house. With the agreement of the four sisters the executors sold the house for market value, that is, €200,000 to the elderly cousin.

Stamp Duty is chargeable on the instrument transferring the house to the elderly cousin.

Stamp Duty is chargeable on €200,000.

In her will Mary left her son John the family home, her only asset. Unfortunately, Mary had significant debts and there were insufficient funds available to pay off the debts and give John the family home.

John paid the executors enough for them to pay off all the debts. The instrument transferring the house to John is chargeable to Stamp Duty on the amount paid by John.

In his will, Tom left the residue of his estate to his three children, James, John and Mary.

Residue is what is left over after payment of specific bequests and administrative expenses. The residue included the house in which his son, James, lived. The residue is worth €210,000, of which €100,000 is attributable to the value of the house.

James wishes the house to be transferred into his name and John and Mary are happy with this. As James is entitled to €70,000 under the will, he agrees to pay the executors €30,000.

Stamp Duty is chargeable on the instrument transferring the house to James. Stamp Duty is chargeable on €30,000.

The executors will distribute the rest of the residue including the €30,000 paid by James to John and Mary.

Joan died leaving her estate to her three sons equally. The estate comprised of:

- house worth €900,000

- shares worth €100,000

- cash worth €260,000.

The net value of the estate is €1,260,000. That is €420,000 each. The three sons agreed that:

- each of them should end up with €420,000

- the house should go to Tom, one of the sons

- Tom should pay the personal representatives €480,000 (€900,000 less the €420,000 Tom is entitled to) to ensure that the other two sons each ended up with €420,000.

The personal representatives assent in writing to Tom getting the house. Tom is entitled to one-third of the house under the will, but he is getting the whole house. As there is no deemed gift, Tom pays Stamp Duty on €480,000.

The executors distribute the shares (€100,000), the cash (€260,000) and the €480,000 paid by Tom (total value €840,000) to the other two sons of the deceased.