Capital Acquisitions Tax Consolidation Act 2003 section 83

Exemption where disposition was made by the donee or successor

Section 83 provides that capital acquisitions tax is not chargeable on a gift or inheritance taken by a person under a disposition made by that same person, and extends this exemption to gifts between associated companies.

• A gift or inheritance taken by a donee or successor under a disposition made by that same donee or successor is fully exempt from CAT — this is known as a "self-made disposition".
• For the purposes of this section, "company" means a body corporate (wherever incorporated), but excludes a private company within the meaning of section 27.
• Where two companies are associated at the date of the gift, a gift taken by one company under a disposition made by the other is treated as a self-made disposition and is therefore exempt.
• Two companies are associated if one is beneficially entitled to not less than 90% of the other's assets available for distribution on a winding up, or if a third company holds not less than 90% of each company's assets available for distribution on a winding up.