Government gets inheritance windfall

The number of people liable for the controversial inheritance tax applied to gifts following the death of a family member has risen by more than a third over the past five years.

A succession of cuts to the threshold at which the rate tax applies has widened the net considerably, resulting in a significant windfall for the Government.

The level at which an individual has to pay capital acquisitions tax on a gift or inheritance from a parent to a child has been reduced by 54% since 2009. Presently, the levy applies at €250,000 and above, having stood at more than €540,000 in 2009.