Brendan Griffin (Kerry, Fine Gael)
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147. To ask the Minister for Finance if he has considered reducing capital gains tax on the transfer of assets, including shares to children; and if he will make a statement on the matter. [17242/16]

Michael Noonan (Limerick City, Fine Gael)
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Capital gains tax applies on the disposal of assets, including where assets are transferred by way of gift, at the rate of 33% on any chargeable gains arising beyond the annual exempt amount of €1,270.

A transfer of assets can give rise to a gift tax charge in the form of capital acquisitions tax on the beneficiary of the transfer as well as a capital gains tax charge. However, capital gains tax paid in respect of such a transfer can be offset against any gift tax that is due.

Individuals may qualify for a capital gains tax relief known as retirement relief on a transfer of assets, including shares, to children in certain circumstances. In general, the relief applies to a disposal of business or farming assets that have been owned and used for such purposes for a period of 10 years prior to the disposal. In order to qualify for the relief, an individual must be aged 55 or over. The relief also applies to a disposal by an individual of all or part of the shares of a company which is a trading or farming company and the individual's family company or a member of a trading group of which the holding company is the individual's family company. 

Where the disposal is to a child and the individual is aged between 55 and 65, there is no restriction on the amount of relief that is available. However, where the individual is aged 66 or over, a cap of €3 million applies in respect of the value of the assets on which relief is given.

I have no plans for further reliefs from capital gains tax on transfers of assets beyond those detailed.