Guidance on CGT clearances for non-resident vendors updated

The capital gains tax (CGT) guidance on the requests for clearance on the disposal of land and buildings by non-residents has recently been updated by Revenue, adding additional clarifications and the removal of the words ‘specified assets’ from the guidance title.

The guidance now clarifies that a clearance request must be submitted in circumstances where the property had been rented during the period of ownership, notwithstanding that no chargeable gain arises. In cases where there is not a requirement to submit a clearance request to Revenue, the vendor is required to provide the solicitor with written confirmation that the property has not been rented during the period of ownership.

Section 2.2.1 has been updated to reflect section 1042(1) TCA 1997, which provides that a non-resident individual disposing of specified assets is liable to pay a capital gains tax liability by the later of three months after the date of disposal, or two months after the date the assessment issues. Section 959AE(1) sets out the circumstances in which Revenue can make an assessment before the return filing date, which includes cases where tax is due on the disposal of specified assets by a non-resident vendor.