bporeilly  
Gavel

B.P. O'Reilly

Legal Services For Individuals

Legal Services For Business


Fear of Inheriting Debt

Gary phoned to ask if you are willed a house with a mortgage on it - would you have to pay tax on the full value of the gift including the Mortgage and therefore effectively pay tax on a debt?

If Inheritance Tax is applicable it is payable only on the value of the net estate. If there is a mortgage on the house at the date of death then it depends on the wording of the will as to whether the estate or the beneficiary would have to pay off the mortgage. In a doomsday situation - if the house was in negative equity then a beneficiary of a gift in an the estate can refuse the gift and not be obliged to take on a net burden.

 

If you want more information about Wills and Estates, please check out the other answers given on www. radiosolicitor.ie or click here for links to previous NewsTalk answers and items from other sources on the subject.

The issues raised in the answer to this NewsTalk listener's question are dealt with in a general way as can only be the case on live radio. Before relying on the advice given in this answer, whether you heard the broadcast or are for the first time reading the issues here please do not rely on the broad advice given. For a detailed professional opinion please consult a qualified legal advisor and for further details read our disclaimer on the Home Page.

Newstalk latest


B.P.O’REILLY & COMPANY SOLICITORS & NOTARIES ARE LAWYERS BASED IN DUBLIN IRELAND SPECIALISING IN LEGAL AND NOTARY SERVICES FOR BUSINESSES AND INDIVIDUALS WHO NEED ADVICE AND REPRESENTATION IN LOCAL, NATIONAL AND INTERNATIONAL CASES.

HEAD OFFICE: B.P O'Reilly & Co. Solicitors, Coric House, Main St, Tallaght, Dublin 24, Republic of Ireland.

Telephone: (01) 4525211      Fax: (01) 4525436

[International (+353-1) 4525211 Fax: (+353-1) 4525436]         

 E-mail: general@bporco.ie

© B.P.O'Reilly & Company Solicitors 2002-2008.

The information contained in this website is of a general nature and should not be relied on in every circumstance
involving what is written and/or said involving the services of B.P.O'Reilly & Company. Consequently, no responsibility will be taken by the site promoters as to the accuracy of its contents. If you have a specific query please contact B.P.O'Reilly & Company.