2023-08-20 17:17:05
Last week, the FAS described a problem that arises primarily in German cities with a shortage of living space: a widow has inherited their home from a deceased spouse, and this fate mostly affects women in Germany. She did not have to pay inheritance tax on the property, the state has made an exception here. But now the widow would like to move out into a small apartment, because the house is too big for her alone, and the children have long since moved out. Perhaps she would also like to leave her house to the children, who have now become parents themselves and could use the space. Either way, moving out would be in the interests of the general public, as this frees up scarce living space for those who need it more urgently.
Alexander Wulfers
Editor in the economy of the Frankfurter Allgemeine Sunday newspaper.
But moving out is not that easy: as soon as the woman no longer lives in the house she inherited, the exception intended to protect homeowners from being forced to move out no longer applies. So now inheritance tax is due. The woman would have to stay in the house for ten years, then she would be safe from taxes. If she moves out before then, the full tax applies, regardless of whether she moves out after one year or after nine years and eleven months. Inheritance tax does have allowances, but there are often still a few euros left in the savings account, and especially in the hotly contested city, many houses are more expensive than the allowance anyway. Is there another way? Can grandma move out? It’s not easy, but there are a few ideas. It works best if you prepare everything before you die.
#save #inheritance #tax #home