Mercantile Solicitors have significant experience in the administration of cross-border estates for Deceased business owners who had international assets ranging from foreign based businesses, commercial property or holiday homes. Equally, foreign residents may die while holding substantial assets in Ireland. We have broad experience in navigating around the complex rules around this area which typically relate to taxing rights and capturing taxes once such rights have been established.
As also noted in the section of this website dealing with “domicile, given Ireland’s close relationship with the UK and the Common Travel Area, a significant number of people have been born in one jurisdiction and spent a significant portion of their lives in the other jurisdiction. Ownership of assets in both Ireland and the UK is relatively common. On the death of the owner, the issue of inheritance tax arises. The elements of the Irish UK Double Taxation Convention dealing with Inheritance Tax become very important.
It frequently arises that HMRC seek taxing rights under the domicile or deemed domicile rule on ex-pat’s worldwide assets and equally the Revenue Commissioners in Ireland can claim similar taxing rights on such person merely by virtue of tax residence.
Conflicts in respect of Ireland and the UK claiming Inheritance taxing rights over worldwide assets are resolved through the Irish / UK double Taxation Convention.
The net issue is that it is fundamentally important when taking instructions from any client, to ascertain their future intentions as to their living arrangements and whether they intend to move jurisdiction. In those circumstances, Mercantile Solicitors are very aware of the responsibilities to advise their clients of the possible implications.
Likewise, Ireland’s shared history with the United States of America means that there are frequently Irish residents inheriting US assets, or US residents inheriting Irish assets. Answers to many of the issues this raises are to be found in the Irish US Double Taxation Convention.
Mercantile Solicitors can deal with the implications, advise on tax planning and deal with tax filings.