FF: Current rate of inheritance tax too tough on families

Fianna Fáil has called on the Government to reduce the rate of inheritance tax.

In Ireland the tax is imposed at a rate of 33% on amounts over €225,000 for a son or daughter.

The rate has soared from 20% back in 2008, and the tax-free threshold has been cut in half.

The party's Senator Mary White says the Government needs to bring back the lower rate to prevent families being hit with huge tax bills for inheriting their family home.

"Currently, if a person is left a house worth €1m, tax on that is a quarter of a million," she said.

"The Government have to immediately redress this situation, and to bring the threshold they call it, which is now €225,000, but I'm saying, because of the increase in house prices, that figure has to go to half a million, as it was in 2008."