Taxation. Inheritance and inheritance tax: how does it work?

Yes! It is possible to make one or more donations: during their lifetime, a person transfers ownership of an asset to another person free of charge. To be effective, the donee must expressly accept the donation. You can donate money, but also movable property (car, jewelry, etc.), real estate, and securities (stocks, shares, etc.). You can donate to your family, a loved one, or certain charities.

Each parent can give up to €100,000 per child without paying gift tax. This allowance is renewable every 15 years. Beyond this amount, the surplus is taxed. Another possible exemption during one's lifetime: family gifts of sums of money, which can be combined with donations, and can be used every 15 years (up to a limit of €31,865).

Since 2007, the inheriting spouse does not pay inheritance tax . The children, fathers and mothers of the deceased benefit from an allowance of 100,000 euros. Beyond this, a progressive scale is in place (like income tax): up to €8,072, the rate is 5%, up to €15,932, the rate is 10%, etc. For André Masson, research director at the CNRS, the maximum rate of 45% (over €1.8 million) "is a scarecrow," but there are "a series of allowances, loopholes and other loopholes. The State only collects 3% of the total amount of these transfers each year," he explains in his book L'héritage au XXIe ^siècle (Éditions Odile Jacob).

In the absence of a will, the deceased's assets go to their children, who are the compulsory heirs. If they were married, their spouse also inherits a share, which depends on the matrimonial regime. In the case where a will is drawn up, the deceased must bequeath a minimum share to their children (called the compulsory portion) but they can bequeath part of their assets to a relative or an association. This is called the disposable portion, that is, the assets remaining after the distribution of the compulsory portion. This depends on the number of children: if there is one child, they must inherit at least half of the assets, if there are two, each inherits a third, if there are three, each a quarter, etc. In the absence of children or a spouse, testamentary freedom is total.

A will allows a person to express their final wishes, including the distribution of their assets. It also allows them to designate one or more people to ensure the proper execution of their final wishes or to settle personal matters, such as specifying the person who will be responsible for caring for their minor children. It can be drawn up by a notary (authentic will) or written, dated, and signed by the testator's hand (holographic will).

In the case of a civil partnership, a will is mandatory for the partner to become an heir. "Many people think that they enter into a civil partnership and then say, 'That's it, we've entered into a civil partnership, we're protected.' But no," warns Édouard Grimont, notary and spokesperson for the Conseil supérieur du notariat. "The civil partnership provides a tax advantage. It is essential to make a will to create an inheritance relationship. In this case, we will inherit without having to pay inheritance tax to each other, like people who are married."