Q. My partner and have I lived together for 20 years. We were engaged but pushed back actually tying the knot, as we were saving or Covid happened or other things just got in the way. Sadly, he passed away suddenly last year. Neither of us have any children. He had a lot of savings and investments. We owned our own home. Thankfully, the mortgage has been dealt with by an insurance policy, but I am worried about the other assets. We never made wills. His family are now saying that, as we were never married, they are entitled to the assets of his estate. Are they correct?
Dear Reader,
Under the Succession Act, where someone dies without having made a will, there are certain rules which govern who stands to inherit. As you and your partner were unmarried and had no children, strictly speaking the entitlement to inherit his estate would first fall to his parents (if they are alive) and thereafter to his siblings equally between them.
It is important to note that if your home was in joint names, it passes to you automatically on his death. However, regarding the other assets, technically speaking, his family would stand to inherit.
That said, the Civil Partnership and Certain Rights and Obligations of Cohabitants Act, 2010, provides scope for the courts to provide relief to you as a cohabitee in certain circumstances. You must have been living together for a period of five years (as you had no children), you seem to tick that box. In addition, to determine if you qualify for relief, the court will also consider all the circumstances of the matter, including the nature of your relationship, your needs, and your contribution towards the assets or investments, etc. Given that you have been together for upwards of 20 years, I think you would have a very chance of success through the courts.
You should ensure that you take any and all necessary advice, including taxation and legal advice, before moving forward.
It is important to note that under general CAT rules, the limit on your inheritances would be only around. €16,000 before you start to pay CAT (although that limit has risen in the current budget to €20,000).
Generally, CGT of 33 per cent would be levied on the balance over and above that tax free allowance. Exemptions, particularly with regard to your home, may well apply, but you might still need to file a tax return.
However, if you are able to get an order from the courts in the terms as outlined above, all benefits may be exempted from CAT. That said, you should liaise closely with your tax advisor.
There are strict time limits on seeking redress through the courts, being two years from the date of death of your partner.
Lastly, as a result of a recent Supreme Court decision, you may be entitled to a Widows Pension, subject to several factors.
