Most people expect an inheritance to be welcome, so the idea of turning one down can feel surprising. But there are real reasons someone might refuse a gift — an asset they don't want, a tax-efficient arrangement within a family, concern about how an inheritance might affect a means-tested social welfare payment, or simply a wish for the benefit to reach someone else. This guide sits within our wider overview of beneficiary rights in Ireland.
Below we explain what a disclaimer is, how to make one, where the disclaimed gift ends up, and how disclaiming differs from simply passing a benefit on. The tax side — Capital Acquisitions Tax (CAT) — is where most people go wrong, so we cover it carefully and flag where you need professional advice.
What is a disclaimer of a benefit?
A disclaimer is a formal refusal of a benefit before you accept it. Revenue is clear: if you receive an inheritance and decide not to take it, you can disclaim it. You are not obliged to accept anything left to you — whether under a will or where there is no will — the choice to refuse is entirely yours.
The refusal must be clear and unequivocal. In practice, a solicitor prepares a written deed of disclaimer that states exactly what is being refused and when. That written record matters: the executor, the next person in line to inherit, and Revenue may all need to see it. A casual or verbal “I don't want it” is not enough.
How to disclaim an inheritance in Ireland
Disclaiming is a deliberate, recorded step. These four stages take you from the decision to a properly made disclaimer.
Decide before you accept any part of the benefit
A disclaimer must be made before you accept or take possession of the benefit. Even small acts — receiving the funds, moving into a property, or dealing with an asset as if it were yours — can count as acceptance and may prevent you from disclaiming later. If you think you might refuse, do nothing with the asset until you have taken advice.
Tell the executor or administrator
Let the person managing the estate — the executor named in the will, or the administrator on an intestacy — know that you intend to disclaim. They need to know early, because your decision changes who inherits and how the estate is distributed. This is part of their duty to administer the estate correctly.
Put the disclaimer in writing
A disclaimer is normally made by a written deed of disclaimer that refuses the benefit clearly and unequivocally. A solicitor usually prepares it so the wording is correct and the date is recorded. The written record matters because the executor, the next beneficiary, and Revenue may all need to see that the benefit was properly refused.
Let the gift pass under the will or intestacy rules
Once you disclaim, you cannot say who receives the benefit instead. It passes according to the will or, where the will does not provide for it, under the intestacy rules in the Succession Act 1965. The person who ends up inheriting is treated as taking it directly from your loved one, not from you.
Where does the disclaimed inheritance go?
A disclaimed legacy falls into the residue of the estate — what is left after specific gifts, debts, expenses, and tax. It then passes to whoever inherits the residue under the will. So if your loved one left you a specific sum and left the residue to a sibling, refusing the sum means it simply joins the residue and goes to that sibling.
Where the residue itself is disclaimed, the rules differ. If a residuary beneficiary disclaims, the residue is distributed as if there were an intestacy in respect of that residue — meaning the intestacy rules in the Succession Act 1965 decide who takes it, rather than any backup instruction in the will.
Section 72A of the Succession Act 1965 governs disclaimers on intestacy. Inserted by the Family Law (Miscellaneous Provisions) Act 1997, it treats the disclaiming person as if they had died immediately before the person who died without a will. In most cases this means the disclaimed share passes to the remaining next of kin — the other brothers, sisters, or children, depending on the family.
How disclaiming affects Capital Acquisitions Tax
If you make a pure disclaimer — refusing a benefit without receiving any payment — you owe no CAT on it. Revenue is explicit: a disclaimer is not itself a disposal for tax purposes, so you are treated as never having taken the benefit. There is no CAT charge on something you never accepted.
The person who inherits instead is treated as taking the benefit directly from your loved one, not from you. This keeps the tax position clean: one CAT charge arises, assessed against the recipient's own relationship to the deceased and their group threshold — not yours. For how those thresholds and the 33% rate work, see our guide to inheritance tax (CAT) in Ireland.
Disclaiming in exchange for a payment works differently. If you give up a benefit and receive something in return, that payment becomes a substituted inheritance from the original person who died. You may owe CAT on it. A disclaimer for value does not escape tax — it changes what you are taxed on.
Disclaiming versus passing a benefit on
A true disclaimer means you cannot say what happens to the benefit. This is the point that catches families out. If you try to refuse a gift “in favour of” a named person, that is not a disclaimer. Revenue treats it as you accepting the benefit and then making a separate gift — and both you and the recipient may face a CAT charge.
Revenue treats a directed “disclaimer” as two separate events: an acquisition and then a disposal. That means two separate CAT charges. In Revenue's own worked example, a woman who inherits a house and tries to disclaim it in favour of her brother is treated as inheriting the house herself, then making a taxable gift of it to him. Both are taxed.
If you want a specific person to benefit, trying to redirect a disclaimer is usually the most expensive way to do it. A genuine disclaimer only works when you are content to let the will or intestacy rules decide. If you want control over where the benefit goes, that is a different kind of transaction — and one to plan carefully with a tax adviser.
What it is
You formally refuse the benefit before accepting it
You accept the benefit, then pass it to a named person
Can you choose who gets it?
No — the will or intestacy rules decide
Yes — you nominate the recipient
How many CAT charges?
One: the next person inherits directly from the deceased
Two: you take an inheritance, then make a separate gift
Your CAT liability
None on a pure disclaimer with no payment
You may owe CAT on what you received before passing it on
A pure disclaimer and passing a benefit to a named person are taxed very differently. Source: Revenue.
| Feature | Pure disclaimer | Passing on a named benefit |
|---|---|---|
| What it is | You formally refuse the benefit before accepting it | You accept the benefit, then pass it to a named person |
| Can you choose who gets it? | No — the will or intestacy rules decide | Yes — you nominate the recipient |
| How many CAT charges? | One: the next person inherits directly from the deceased | Two: you take an inheritance, then make a separate gift |
| Your CAT liability | None on a pure disclaimer with no payment | You may owe CAT on what you received before passing it on |
Things to weigh before you disclaim
Disclaiming is generally irreversible once made. Refusing a benefit changes who inherits and can affect other family members' shares, as the examples above show. It is worth thinking through the full picture before you sign anything — not just the asset in front of you.
One common worry does not need a disclaimer to resolve it: fear of inheriting debt. In Ireland, a beneficiary is not personally liable for a loved one's debts. Debts are paid from the estate before anything is distributed to beneficiaries. If this is your main concern, read our guide to inheriting debt in Ireland before you decide.
It is also worth understanding the full picture of what you are entitled to before giving any of it up. Our guide to what a beneficiary is entitled to in Ireland covers the wider rights that apply to you as someone who inherits.