Seen & Heard: Revenue clampdown on cash gifts to first-time housebuyers

Recipients could face tax bills running to tens of thousands of euro

Under revised tax rules, the Revenue Commissioners are targeting adults in receipt of financial support from their parents. Photograph: Joe St Leger

Under revised tax rules, the Revenue Commissioners are targeting adults in receipt of financial support from their parents. Photograph: Joe St Leger

 

First-time buyers who receive a contribution from their parents towards a house deposit could face tax bills that run to tens of thousands of euro, due to the latest clampdown by Revenue, according to the Sunday Business Post.

Under revised tax rules, the Revenue Commissioners are targeting adults in receipt of financial support from their parents. According to the report, tax experts have warned that this could lead to significant tax liabilities for first time buyers.

Elsewhere in the Business Post it reports that the IDA and Revenue have embarked on a major campaign to persuade international companies to relocate business-to- consumer activities to Ireland from competitor counties, especially Luxembourg.

The paper also notes that Unislim is expanding into the British market and will soon launch a range of branded convenience foods.

The Sunday Times reports that AIG is finalising am €80 million takeover of Laya Healthcare. Laya is the State’s second biggest health insurer.

The deal, which is expected to be completed this week, marks the first foray into the Irish health insurance market.

Laya has more than 475,000 policy holders and an annual premium income of about €500 million.

Elsewhere, the Sunday Times reports that Waterford Wedgwood is back on the market, with Goldman Sachs having been appointed to find a buyer. The price being sought is more than €650 million, according to the report.

The Sunday Independent reports that Willie Walsh, the head of IAG which is trying to buy Aer Lingus, has more than €26,000 in Aer Lingus shares. Walsh has seen seen the value of his shares rise by 40 per cent since IAG’s interest in the airline was made public.

Airtricity, according to the Sunday Independent, has defended its decision to pay its UK owner SSE a €70 million dividend rather than pass on savings to Irish consumers.

According to another report in the paper, UTV is blaming weak ratings for UTV Ireland on Sky and UPC’s price increases.

The station’s management is thought to be concerned that viewers are blaming it for the recent price increases which happened shortly after the new station was launched.

The Sunday Telegraph reports that Aviva’s £5.6 billion takeover of rival insurer Friends Life has received the blessing of key shareholders ahead of a vote on the deal.

Friends Life’s eight largest shareholder Old Mutual has thrown its wight behind the deal, which, if it goes ahead would mean the combined entity would have 16 million customers in the UK.

The Telegraph also says that the Economist could hire its first female editor in its 171-year history.

According to the report, business affairs editor Zanny Minton Beddoes is one of three names on a final shortlist of executives for the to job. Whoever succeeds will be the 17th editor at the newspaper.