Capital Acquisitions Tax – Dwelling House Exemption – Finance Act 2017
The Capital Acquisitions Tax Manual has been amended in Part 24 (Exemption relating to certain dwellings) to reflect amendments made to section 86 CATCA 2003 by Finance Act 2017 (section 70). There are two amendments in relation to dwelling houses taken by a dependent relative of the disponer. The position following the amendments is that:
- there is no requirement for the dwelling house to have been the principal private residence of the disponer at the date of his or her death
- a gift of a dwelling house that would usually be treated as an inheritance where a disponer dies within two years of making the gift can qualify for the exemption.