Revenue eBrief No. 062/23

14 March 2023

Capital Acquisitions Tax Manuals Parts 10 and 11 – updated

Section 89 of the Capital Acquisitions Tax Consolidation Act 2003 provides for a relief from capital acquisitions tax in respect of gifts and inheritances of agricultural property. In certain circumstances, a qualifying condition for the relief is that the beneficiary, or a lessee where the beneficiary leases the agricultural property, holds a relevant agricultural qualification.

Finance Act 2022 inserted a new section 654A in the Taxes Consolidation Act 1997, which streamlines how agricultural qualifications are listed and updated for the purposes of various tax relief schemes, including agricultural relief. Tax and Duty Manual - Capital Acquisitions Tax Manual Part 11 Agricultural Relief - has been updated in paragraph 11.6.3.4 to reflect this change.

Favourite Nephew/Niece Relief is provided for by Schedule 2, Part 1, paragraph 7 of the Capital Acquisitions Tax Consolidation Act (CATCA) 2003. Tax and Duty Manual - Capital Acquisitions Tax Manual Part 10 Favourite Nephew/Niece Relief - provides guidance on the operation of the relief. This manual has been amended to provide a more detailed explanation of the relief.