Councillor Beard highlights personal impact of inheritance tax on families without children

South Inishowen 100% Redress Councillor Joy Beard is calling for inheritance tax to be abolished or, at the very least, significantly reformed following Budget 2027.

Drawing from her own experience as someone without children but with close ties to her nieces and nephews, Cllr Beard criticised the disparity between the tax-free thresholds for children and other relatives, warning that those inheriting an estate can face a substantial tax bill simply because of their relationship to the person who has died.

“As someone who wasn’t blessed with children, but who has nieces and nephews I am extremely close to, this Budget was deeply disappointing,” she said.

The 100% Redress councillor said the issue was particularly personal for those who have spent their lives working, paying taxes, buying a home and building up savings, only for their loved ones to face an additional tax bill when inheriting those assets.

“My own view is that there should be no inheritance tax. People spend their lives working, paying taxes on their earnings, buying their homes and putting aside whatever savings they can. They should be able to leave what they have built up to their loved ones without another tax bill arising on their death.”

Under the inheritance tax rules outlined following Budget 2027, a child can inherit up to €420,000 tax-free from a parent. However, the threshold for siblings, nieces and nephews is generally €44,000, while unrelated beneficiaries, including friends, are subject to a €22,000 threshold.

Councillor Beard said the difference could have serious consequences for people who want to provide for relatives who have played an important role in their lives.

“A €4,000 increase announced in the Budget does little to close that enormous gap. A family home may have to be sold simply to meet the inheritance tax bill.”

She said the issue was not simply about financial allowances, but also about recognising the different family circumstances that exist in society.

“For those of us without children, our nieces and nephews can hold a very special place in our lives. Those relationships should not count for less.”

Councillor Beard’s comments follow months of campaigning by the National End Discrimination in Inheritance Tax (EDIT) Campaign Group, which is seeking a more reasonable inheritance tax system.

EDIT is proposing an immediate, index-linked, tax-free inheritance threshold of €460,000 or higher for every citizen, regardless of their relationship to the person leaving the inheritance.

Councillor Beard said she supported EDIT’s campaign for greater fairness but believed the changes needed to go further, advocating the abolition of inheritance tax altogether.

“I support EDIT’s campaign for fairness. But my position goes further: families should be able to pass on a lifetime of hard work and savings without inheritance tax.”

“I’m using my personal circumstances as an example but know there are other family dynamics out there that are affected by this discrimination also.”

The Government has previously pointed to the potential cost to the Exchequer of equalising inheritance tax thresholds across different categories of beneficiaries.

However, Councillor Beard’s comments add to the ongoing debate about how inheritance tax should operate, particularly for people whose closest relationships and intended beneficiaries do not fall within the parent-to-child category.