Farm transfer tax calculator (Ireland)

How it is worked out

1. CAT: the value received, less €3,000 on a gift, with agricultural property cut by 90% when both tests are met, added to earlier benefits in the same group since 1991; 33% on anything over the threshold (€420,000 for a child from 7 October 2026).
2. CGT on a gift: market value less what the farm cost, at 31% (33% before 7 October 2026). Retirement relief to a child removes it up to €10 million of value (ages 55 to 69) or €3 million (70+); to anyone else, the tax is nil up to €750,000 of lifetime consideration (€500,000 at 70+) and limited to half the excess above it. No CGT on an inheritance.
3. CGT credit: CGT paid on the same gift is taken off the CAT on the same property (lost if the property is sold within 2 years).
4. Stamp duty on a gift: 7.5% on land, residential rates on the farmhouse; 1% on the land under consanguinity relief; nil with young trained farmer relief, within a €100,000 lifetime limit. None on an inheritance in the normal case.

Frequently asked questions

How much tax is there on passing a farm to a child in Ireland?
Often none, if the reliefs apply and the conditions are kept. Example (our assumptions): a parent aged 64 gives a €1.5 million farm (€1.2 million of land and buildings, a €300,000 farmhouse) to a daughter aged 30 with a farming qualification. Without reliefs the gift would cost about €496,000: €403,000 of capital gains tax for the parent and €93,000 of stamp duty, with the CAT covered by the credit for the CGT. With agricultural relief, CGT retirement relief, consanguinity relief and young trained farmer relief the bill is €0, provided she keeps and farms the land for at least 6 years.

What is agricultural relief for CAT?
It cuts the taxable value of farmland, buildings, machinery and livestock by 90% for gift or inheritance tax. Two tests: on the valuation date at least 80% of the beneficiary’s gross assets, including the farm, must be agricultural property, and for 6 years they must farm it themselves (with a farming qualification, or spending at least half their working time farming, about 20 hours a week) or lease it to someone who does. Sell within 6 years without reinvesting in farmland within a year, or stop farming, and the relief is clawed back (Revenue).

What is the CAT threshold for a child in 2026?
For gifts and inheritances on or after 7 October 2026 a child can receive €420,000 tax-free over their lifetime from their parents (Group A), €44,000 from a brother, sister, aunt, uncle or grandparent (Group B) and €22,000 from anyone else (Group C), with 33% on the rest. These are the Budget 2027 thresholds in the Finance (No. 2) Bill 2026, not yet law. Earlier gifts in the same group since 5 December 1991 count.

Does a parent pay capital gains tax on giving a farm to a child?
A gift is a disposal at market value, so CGT applies (31% from 7 October 2026) unless retirement relief does. A parent aged 55 or over who has owned and farmed the land for 10 years pays no CGT on a transfer to a child worth up to €10 million (ages 55 to 69) or €3 million (70 and over). Tax above €10 million can be deferred and falls away unless the child sells within 12 years. If the child sells within 6 years, the relieved CGT is charged to them (Revenue TDM 19-06-03b). There is no CGT on an inheritance.

What stamp duty is due on a farm transfer to a son or daughter?
Farmland is normally charged 7.5% and a farmhouse at residential rates. Consanguinity relief cuts the land to 1% between related people if it is farmed for 6 years (deeds to 31 December 2028). Young trained farmer relief removes the duty on land and farmhouse for a transferee under 35 with a qualification and a Teagasc business plan (deeds to 31 December 2029), within a €100,000 lifetime limit that does not count the consanguinity part.

What if my child sells the farm later?
Within 6 years: agricultural relief is clawed back unless the proceeds are reinvested in farmland within a year, the parent’s CGT retirement relief is charged to the child, and consanguinity relief is withdrawn. Within 5 years: young trained farmer relief is clawed back unless the land is replaced within 12 months. Development land has a 10-year clawback.

Related

• Passing on the family farm: the tax guide, with worked examples and the traps.
• Inheritance tax calculator (CAT): any gift or inheritance, with earlier gifts and your deadline.
• Small gift exemption planner: €3,000 a year from each giver, outside the threshold.
• Capital gains tax calculator (Ireland) · Fair Deal calculator: the 3-year cap on farm assets.
• Can I retire at 60? (Ireland): income after handing over the farm.