A Section 73 savings plan is a life assurance-based savings policy designed specifically to fund a future CAT liability. The key advantage is that money accumulated in a Section 73 policy, when used to pay an inheritance tax bill, qualifies for an exemption from CAT itself — meaning the provision you make for a future tax bill does not itself attract tax. It is one of the most effective and consistently underused estate planning tools available in Ireland, and it is most powerful when established early. PPFS will assess whether a Section 73 plan is appropriate for your estate and, if so, structure it correctly from the outset.
“Have you set aside funds to cover your estate’s CAT liability — and is that provision itself tax-exempt?”
