CGT is a tax on a capital gain arising on the disposal of assets owned by you. At its simplest, deducting the price you paid for an asset when you acquired it from the sale proceeds when you dispose of it gives you the chargeable capital gain.

In calculating the amount of tax payable, deductions are allowable for incidental costs of acquisition, such as solicitor’s fees, stamp duty etc. and incidental costs of disposal such as, solicitors/auctioneers fees etc. In addition, where an asset was acquired before 2003, inflation relief may be available, effectively adjusting the cost in line with a published inflation factor.

• Gains on the disposal of property owned by you (house,
  apartment, etc.) which was occupied by you or by a dependent relative as a sole or main residence. Restrictions may apply where the property was not fully occupied as a main residence throughout the period of ownership or where the sale price reflects development value.

• Transfer of residential site from parent to your child, provided the site is to construct your child’s principal private residence, and its market value does not exceed €500,000

• Gains from betting, Lotteries, sweepstakes, bonuses payable
  under the National Instalments Savings Scheme and Prize Bond
  winnings

• Gains on Government Loans and Debenture issued by certain
  Semi-state bodies

• Gains on disposal of wasting chattels (e.g., animals, private
  motor cars, etc.)

• Gains on Life Assurance policies (unless purchased from
  another person or taken out with certain foreign insurers on or
  after 20 May 1993)

• Gains made by individuals on tangible moveable property
  where the consideration does not exceed €2,540

a) If the disposal is made in the period 1 January to 30 November the tax is due by 15 December in that tax year

b) If the disposal is made in the period 1 December to 31 December the tax is due on 31 January in the following year

Full retirement relief from CGT for intra-family transfers will be maintained for individuals aged 55 to 66. An upper limit of €3m on retirement relief for business and farming assets disposed of within the family is introduced where the individual transferring the assets is aged over 66 years. This will incentivise earlier transfer of farms.

(The current unlimited amount applies for a transitional period of two years for individuals currently aged 66 or who reach that age before 31 December 2013.)

The current upper limit of €750,000 for assets transferred outside the family for individuals aged between 55 and 66 years will be maintained. The upper limit for retirement relief for business and farming assets transferred outside the family is reduced from €750,000 to €500,000 for individuals aged over 66 years.

(The current upper limit of €750,000 applies for a transitional period of two years for individuals currently aged 66 or who reach that age before 31 December 2013.)