Effective Gift of Savings Deposits
Judgment of the Regional Court of Koblenz on March 14, 2024 – Case No.: 3 O 457/23 The gifting of savings books can be effective even without an assignment declaration. This was decided by the Regional Court of Koblenz in a judgment on March 14, 2024 (Case No.: 3 O 457/23). Lifetime gifts are an […]
Higher Inheritance Tax on Real Estate Expected
For inherited real estate, a significantly higher inheritance tax might apply from 2023. The reason is changes to the Valuation Act, which are part of the planned Annual Tax Act 2022. The Annual Tax Act 2022 has not yet been passed. Should the Bundestag and Bundesrat give the green light for the legislative project, it […]
Former Partner Inherits Despite New Partnership
According to a decision by the Higher Regional Court of Oldenburg, the testamentary appointment of the life partner as heir can remain valid even if the partner has a new partner (Ref.: 3 W 55/22). In the statutory order of succession, the unmarried life partner is not recognized under inheritance law. By creating a will, […]
Only one property can be exempt from inheritance tax as a family home
The family home can be inherited tax-free under certain conditions. However, as a judgment by the Munich Fiscal Court shows (Ref. 4 K 692/20), the tax exemption can only apply to one property. Tax law stipulates that the family home can be inherited tax-free if certain conditions are met. Among other things, it is necessary […]
Gift and Compulsory Portion Supplement Claim
The reservation of the right of residence can still affect the compulsory portion supplement claim in the gift of a property even after more than ten years. This is demonstrated by a ruling of the OLG Munich. Gifts are an excellent means to bypass inheritance tax or also to reduce compulsory portion claims. However, it […]
Optimally Structuring Business Succession
Succession planning presents a challenge for many medium-sized companies. According to a KfW study, approximately 465,000 medium-sized companies will face business closure by 2025. The reasons for the impending business closures by the end of 2025 vary. According to the KfW study, around 266,000 owners plan to close their businesses without seeking a succession solution. […]
Renewed Signature Does Not Make Revoked Will Effective Again
If a will has been effectively revoked, it does not become valid again simply by the testator re-signing their last will. This has been decided by the Higher Regional Court of Munich. With a will, the testator can determine who should inherit, deviating from the statutory succession. Circumstances may arise that make the testator reconsider […]
Inheritance law in cross-border succession cases
Within the European Union, the EU Succession Regulation governs which national law applies in cases of inheritance with an international element. With a holiday apartment in Tuscany or a finca in Mallorca, many people fulfill their dream of a sunny residence in old age. However, this can have effects in the event of inheritance. If […]
Inheritance and Legacy Have Different Consequences
Inheritance law distinguishes between inheritance and legacy. A will should be formulated accordingly. Only the heir also becomes the legal successor of the testator. If there is no will or inheritance contract, the statutory succession automatically applies. Anyone who wants to distribute their estate differently can do so in a will. It is important that […]
Private Clients – Protection of Assets and Business
Private wealth and business assets require special protection. In this context, aspects of inheritance law and family law play a central role among others. Particularly for the self-employed, entrepreneurs, and tradespeople, family disputes can also affect the business and its assets. Inheritance disputes, as well as separations and divorces, can become problematic for one’s own […]
