The Finance Bill 2000 has introduced changes to the basis on which gift tax and inheritance tax is charged on assets situated outside the State. The disposal of foreign assets will be liable to Irish tax where either the disponer or beneficiary is resident or ordinarily resident in the State at the relevant date. Where the disponer or beneficiary is foreign domiciled, that person will not be treated as resident or ordinarily resident in the State unless he has been resident in Ireland for five consecutive tax years. A tax credit will be obtained for any foreign inheritance tax paid in a tax treaty country. All of the above taxes are calculated on the higher of the acquisition price or the property registered value.
Tax is payable on receipt of income tax assessment.
Payable on property located in Portugal. The value of the property is assigned by the Revenue and is normally between 30 per cent and 50 peer cent of the fair market value of the property. It is not necessary to appoint a Spanish representative, but it is advisable Net Worth Tax return, including property location must be filed between 1 May and 20 June of the following year. Net Worth Tax is payable annually. Payable on property located in Spain.