Capital Acquisitions Tax Consolidation Act 2003 section 81

Section 81 provides an exemption from capital acquisitions tax for gifts and inheritances of certain Government and other securities (including units in qualifying unit trusts) where the securities were issued with a condition that they be exempt from tax when beneficially owned by persons who are neither domiciled nor ordinarily resident in the State.

• Securities or units in a qualifying unit trust comprised in a gift or inheritance are exempt from CAT provided the beneficiary is neither domiciled nor ordinarily resident in the State at the date of the gift or inheritance, and the securities or units were continuously comprised in the disposition for the 15-year period ending on that date.
• The securities or units must have been comprised in the gift or inheritance both at the date of the gift or inheritance and at the valuation date; where an exempt security is appropriated in satisfaction of another person's benefit during the administration of an estate, it is treated as comprised in the gift or inheritance at the relevant date.
• The 15-year holding requirement does not apply where the disponer was neither domiciled nor ordinarily resident in the State at the date of the disposition, or where the securities were beneficially owned by the disponer before 26 March 1997 (or became subject to the disposition before that date) and the disponer was non-domiciled and non-resident at the date of the gift or inheritance.
• Where the securities or units came into the beneficial ownership of the disponer, or became subject to the disposition, before 15 February 2001, the holding period is reduced from 15 years to 3 years.