Family home inheritance tax calculator (Ireland 2026)

Inheriting the family home in Ireland can trigger significant CAT, but the Dwelling House Exemption under Section 86 can remove the charge entirely if five conditions are met. This calculator compares the two outcomes for 2026.

The family home is often the largest single asset in an estate, and CAT on a house inheritance can run to tens of thousands of euro. The Dwelling House Exemption under Section 86 of the Capital Acquisitions Tax Consolidation Act 2003 can remove that charge entirely, but only if five strict conditions are met together.

The conditions are: the beneficiary must have lived in the house as their only or main home for the three years before the death; the beneficiary must not have any interest in any other dwelling at the date of death; the beneficiary must not acquire any other dwelling from the same person between the inheritance and the valuation date; and the beneficiary must continue to live in the house as their only home for six years after the inheritance. The six-year retention rule has three waivers: age 65 or over at the date of inheritance, certified medical infirmity, or a required move for employment.

How this calculator works

The calculator asks for the relationship, the house value, and whether all five DHE conditions are met. It calculates CAT both with and without DHE, showing the saving DHE produces.

What to do with the number

If DHE could apply, the assessment is worth getting right: a successful claim often saves €30,000 to €130,000 on a single inheritance. The Complete Bundle includes a full DHE assessment against all five conditions, including the Finance Act 2016 age waiver, and sets out the documentation required to support the claim to Revenue.

This calculator is a preparation tool using Irish tax rates and rules for 2026. It is not legal or tax advice. For complex estates, consult a solicitor or tax adviser. All values are estimates based on the information you provide.