Donations and inheritance
You want to transfer your estate or part of it.
You want to make a correction and disclose a non-registered donation.
You want to anticipate the distribution of your estate upon your death.
You want to pass on your business to a successor.
The treatment of donations and estates in France
In France, donations and estates are subject to the same tax regime and incur duties on the free transfer of assets.
The territoriality of the taxation of an inheritance or a donation depends on the place of residence of the deceased or the donor (the person giving the money) as well as that of the beneficiary or donee (the recipient). This question is decided by the bilateral tax convention signed between France and the other country in which the deceased person, donor, beneficiary or donee lives or lived.
However, France has only signed a limited number of conventions of this type.
In the absence of a bilateral convention and if the deceased person, heir, donor or donee resides/resided in France, all the moveable or immovable property transferred is taxable in France whatever its nature or its situation (in France or abroad).
The law provides for a certain number of exemptions that may concern the deceased person, his heir or donee such as the tax-free status of donations/estates between spouses.
Certain company transfers can, under certain conditions, also be exempt from duties on free transfer of up to three-quarters of their value.
When the net estate assets (deceased’s gross assets minus liabilities) have been calculated, the taxable persons submit an inheritance declaration for the settlement and payment of fees. This declaration must normally be submitted in the six months from the date of death if this took place in France and within one year if the death took place abroad.
The net estate is subject to duties on free transfer after any application of an allowance. This could be €100,000 for example if the transfer takes place from a parent to a child.
The progressive scale of duties on free transfer also differs according to the degree of kinship with the deceased or donee.
If the heir is a direct descendant, the progressive scale looks like this:
Up to €8,072: 5%
Between €8,072 and €12,109: 10%
Between €12,109 and €15,932: 15%
Between €15,932 and €552,324: 20%
Between €552,324 and €902,838: 30%
Between €902,838 and €1,805,677: 40%
More than €1,805,677: 45%
Altexis offers you full support in the transfer of your estate.
- We can optimise and anticipate the transfer of your estate.
- We can help you take steps to disclose undeclared assets in an inheritance.
- We can help you through a tax inspection linked to a donation or inheritance.