MONEY MATTERS
Can I gift my daughter cash for her house deposit without being taxed? Liam Croke lets you know
Our personal finance expert Liam Croke answers the question

Neither father or daughter will have a tax liability for the exchange
Q: I’m considering giving my daughter and son-in-law €30k towards their new house purchase. They have saved a 10% deposit, so I want them to use this money towards reducing their borrowing thus saving on mortgage repayments. If I gift them this amount, will they or I be liable for tax?
A: Neither of you will incur any tax liability. At the moment your daughter can receive up to €335,000 from you tax-free over her lifetime, with any excess charged at a rate, which is currently 33%.
Even though she has no tax to pay, she has to make a declaration and a return to Revenue advising them she received this gift from you.
If you do give this gift, her lender may ask you to sign a declaration that (a) the monies given were a gift and you aren’t ever expecting any full or part repayment of it i.e. it’s not a loan and (b) because you have indirectly made a financial contribution towards the purchase, you’re waiving your rights to any interest in the property now or in the future.
Helping her out with mortgage repayments is a good idea, as that €30,000 will reduce her monthly repayments by c. €127, and over a 30-year mortgage, she will end up paying back €45,533 less in capital and interest repayments.
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