Normally it is usual to avoid talking about inheritances because of what they mean, but, unfortunately, it is necessary to have certain notions on the subject. Something that few people know is that, when a person or group of people receives an inheritance or donation, they are obliged to pay a tax. The value of this depends on the autonomous community in which the procedure is carried out. In this post we are going to talk about the state of inheritance in Catalonia and the basic information about them.
How is an inheritance accepted?
Before entering into the matter, it is necessary to comment that any natural or legal person can inherit, provided that he is not incapacitated by law (as is the case of illegal associations) and is alive at the time of the death of the originator.
The general rule is that an inheritance is expressly accepted by means of a public document (before a notary). When there are disputes between the heirs, the inheritance is accepted before a judge who analyzes the particular case.
Accepting inheritances in Catalonia entails a series of characteristics:
- It is a free and voluntary act
- It is irrevocable
- It is indivisible
- It can’t be done long-term
In theory, if the deceased person has the inheritance written, the people listed in it are his heirs from the moment the deceased dies. There are, however, several types of heirs:
- Forced heirs. Protected by law, they have the right to receive a certain part of the inheritance (the ‘legitimate’). They are what are known as legitimate heirs.
- Voluntary heirs. They are the people who appear in the will but whose inheritance may depend on the existence of one or more forced heirs.
- These are people who inherit specific objects or goods, such as a house or land.
Who has the right to legitimate inheritance in Catalonia?
As we have said before, the reserved portion belongs to the forced heirs. Inheritances in Catalonia consist of 2 types: descendants (the children of the deceased person) and ascendants (the parents of the deceased person, in case there are no children).
It should be emphasized that the partner of the deceased person, in Catalonia, does not have the right to the legitimate. Only the types we have named above (ascendants and descendants).
Inheritance tax in Catalonia
First of all, to understand the inheritance tax of Catalonia it is necessary to explain who is obliged to present it:
- If the deceased person had his habitual residence in Catalonia, regardless of the place of residence of the heir, he will have to pay taxes in Catalonia.
– When the donation is, for example, money and the person who inherits resides in Catalonia, this will have to be taxed in Catalonia, regardless of where the donor resides.
– When the donated is a flat in Catalonia, the heir will have to pay taxes in Catalonia, regardless of your place of residence.
How much do you have to pay for inheritances in Catalonia?
To calculate inheritance tax in Catalonia we must take into account several aspects:
- Calculate the hereditary mass. To do this, the real value of the inherited assets is added and the debts and deductible expenses are subtracted. The value of these goods will be the one they have at the time of acquisition. The entire estate is considered the taxable base of inheritance tax.
- Make the reductions. Thus, the taxable base can be obtained. This will depend on the degree of kinship with the deceased or the type of property inherited.
- Determine the tax liability. This is obtained by applying to the taxable base the applicable rate (from 7.00% to 32%) depending on the amount inherited and the multiplier coefficient depending on the degree of kinship (1-2%).
- Apply bonuses or deductions. Once these are applied (established in Law 19/2010, of June 7) you can get the figure of the fee to be paid. The stable partner or spouse of the deceased person can apply a bonus of 99% of the tax quota. The amount, therefore, is very low. In the case of descendants and ascendants, they can apply the bonus of article 58 bis. 2 of the same law.
Reductions on the tax base in Catalonia
In this case, the Tax Agency is the one that establishes the reductions, which replace those of the State. There are several:
Reduction by degree of kinship.
Depending on the degree of kinship between heir and deceased, there are several groups:
- Group I: for direct descendants under 21 years of age, 100,000 euros. It may not exceed € 196,000.
- Group II: € 100,000 to the spouse or stable partner, € 100,000 to children of 21 years or older, € 50,000 to grandchildren, great-grandchildren and other descendants of 21 years or older, € 50,000 to members of a mutual aid cohabitation relationship (the deceased must have lived together for a minimum of 2 years), € 30,000 to parents, grandparents and other ascendants.
- Group III: € 8,000 to collateral relatives of the second and third degree and ascendants and descendants by affinity (brothers, uncles, in-laws, daughters-in-law …).
- Group IV: no reduction applies to collateral relatives of the fourth degree (cousins) or more distant relatives and strangers.
Reduction due to disability.
Depending on the degree of disability, an amount corresponds:
- Reduction of € 275,000 if the degree is equal to or greater than 33%.
- Reduction of € 650,000 if the degree is equal to or greater than 65%.
- Reduction for people over 75 years old. In this case the reduction is € 275,000. It is necessary to comment that this reduction is incompatible with that of disability.
Reduction for acquisition of the habitual residence.
With a limit of € 500,000, a reduction of 95% of the value of the habitual residence can be applied to the tax base. This will be apportioned among the heirs. The limit for each of them cannot be less than € 180,000. This reduction can be applied to the spouse or stable partner, the cohabitant in a mutual aid relationship, the descendants and ascendants of the deceased and the collateral relatives of the deceased.
Conclusions
It is important to inform you of the conditions of the inheritance tax in the respective autonomous community, since the conditions may vary from one to another. In the case of inheritances in Catalonia it is essential to inform yourself in advance and have the help of a legal advisor who knows the requirements of this autonomous community. In Blegal we have more than 30 years of professional experience and we are in constant training to offer you the best and most updated advice. You can contact us for any questions or continue researching the latest legal news on our blog.
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