When is capital gains tax clearance required?
Revenue has published eBrief No. 105/15 to clarify the circumstances where they do not require a capital gains tax (CGT) clearance certificate.
In general, certain circumstances where there is a disposal giving rise to capital gains tax the purchaser may have to withhold fifteen per cent of the purchase price and pay this amount to Revenue. If the seller provides a CGT clearance certificate, full payment can be made. Section 980 TCA 1997 is the relevant legislation.
eBrief No. 105/15 clarifies the circumstances in which the provisions of section 980 TCA 1997 will not be applicable to disposals/sales of assets that are referred to in subsection (2) of that section. The eBrief is published here.