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Topic: CGT on Irish property  (Read 180 times)

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CGT on Irish property
« on: December 31, 2024, 09:24:00 AM »
Hello again all! Happy New Year!
I have sold a property I rent out in Ireland, I have never lived in this property. I have made a Capital Gain of this property and my Capital Gains Tax (CGT) bill in Ireland is circa €60,000. I am also liable to pay CGT in the UK in the region of £30,000 however the UK has a tax treaty which means I can offset my UK bill with what I have paid in Ireland.
Does anyone know what my liability in the USA would be?


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Re: CGT on Irish property
« Reply #1 on: December 31, 2024, 11:29:26 AM »
The rental activity will have been reported by you on Schedule E, Form 1116 and Form 8858 each year. On sale you will figure out the gain in US$, calculate recaptured depreciation and be able to claim any suspended passive activity losses. The US will give a credit for tax paid to both Ireland and the UK, provided it is paid no later than 31 December 2024. It would be prudent therefore to make payments to the UK & Irish tax authorities today.


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Re: CGT on Irish property
« Reply #2 on: December 31, 2024, 11:54:01 AM »
Thanks for your reply.

I have been declaring all rental income to the IRS using the forms you mention below. So all above board in that context.

Why would I need to clear the capital gains bill in Ireland and UK today?


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