Blog-McCarthy & Associates-Galway Talks, 03/07/2014

galway-bayfmIssue:  Since 1st July US Residents with bank accounts in Ireland will be reported to the IRS.

Comment:  Since 1st July the Irish Tax Authorities have ratified a tax agreement with the US called FATCA.  This agreement means that all investments/bank accounts in Ireland, held by US Residents, will be reported to the IRS.  The first reportable date is 1st July 2014 and annually thereafter.  This is part of a campaign by the US, to ensure that their residents are taxed on their worldwide income.

For anybody who has failed to disclose their Irish assets, then they could have a problem.

Question:  I recently inherited some money on of the death of my mother.  I am wondering what your advice would be in relation to investing it?

Comment:  One of the common problems that I come across, when somebody receives an unexpected lump sum, such as an inheritance, redundancy, gift etc is that they do not realize how important it is to get your finances reviewed and not to focus solely on the investment decision

The flexibility that you will have with regarding to investing your inheritance will be dependant on your financial circumstances.