Operation Irini: Motion
Dail Éireann — 2023-04-25
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Michael McGrath (FF), Cork South-Central

As the Deputy is aware, the Small Gift Exemption is an annual CAT relief available to all recipients of gifts. This means that each parent can give a gift to the value of €3,000 to a child (or anyone else) each calendar year without any CAT arising. Two parents can make gifts to a child to the value of €6,000 in any year free of CAT. Indeed, two parents could, if they wished, gift €12,000 in total each year to each son or daughter and their respective partner (e.g. fiancée, fiancé, daughter-in-law, son-in-law) free of CAT.
I am advised by Revenue that the estimated cost of increasing the small gift exemption from €3,000 to €5,000 is in the region of €1.2 million. This estimate is based on Capital Acquisitions Tax returns filed in 2022 and does not include the impact of any behavioural changes that may occur as a result of this measure.
Any changes to the Small Gift Exemption must be considered in the context of competing demands. I believe the current relief available to be fair, and have no plans to increase the Small Gift Exemption at this time.

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Record URI: https://data.oireachtas.ie/akn/ie/debateRecord/dail/2023-04-25/debate/main
Retrieved: 2026-08-14T04:51:48+00:00
Sitting date: 2023-04-25