Managing international inheritances can be a complicated process. When assets or heirs are located in different countries, tax and legal obstacles arise that can delay succession. Without proper planning, procedures take longer and tax burdens can be higher than expected.
If you find yourself in this situation, it is essential to know the keys to managing an international inheritance efficiently and smoothly.
What is international inheritance and why is it so complex?
An inheritance is international when the deceased had assets in several countries or when the heirs reside in different jurisdictions. This means that the laws of succession will not be the same in all cases.
Each country has different rules for determining who inherits, how assets are distributed and what taxes apply. In Spain, for example, the autonomous communities have specific inheritance regulations, while in the United States the rules can vary from state to state.
In addition, if the deceased did not leave a will, the laws of each country will determine how his or her assets are distributed, which can lead to conflicts and delays in the succession.
The legal framework in Europe for international inheritance
To simplify these processes, the European Union adopted Regulation (EU) 650/2012, which establishes that the law applicable to an inheritance will be the law of the country where the deceased had their habitual residence. However, if a will has been left, it is possible to choose to have the succession governed by the law of their country of nationality.
This regulation also introduced the European Certificate of Succession, a document that facilitates the accreditation of heirs in any EU country, avoiding the need for multiple procedures in different jurisdictions.
Despite these developments, things can be more complicated outside the EU. Countries such as the United States, the United Kingdom and Switzerland have different regulations that may conflict with European regulations, requiring more detailed legal coordination.
Key challenges in international inheritance management
Dealing with an international inheritance is not only a matter of bureaucracy, but also presents specific problems that can make the process more difficult:
Legal differences
Each country has its own inheritance and tax laws, which can lead to incompatibilities.
Taxation in various jurisdictions
The same inherited property may be taxed in more than one country, increasing the tax burden.
Recognition of wills
Not all countries recognise foreign wills outright, which can lead to legal disputes.
Long resolution times
Lack of coordination between different legal systems can delay the adjudication of inheritance for years.
How to plan an international inheritance to avoid problems
To reduce risks and speed up succession, it is advisable to take preventive measures:
- Draw up a will that is valid in all countries where assets are held.
- Appoint advisors specialising in international law to ensure that planning is effective.
- Assess the tax burden in each country and implement strategies to reduce taxes within the law.
- Check international double taxation treaties to avoid paying duplicate taxes.
- Keep all documentation in order, including deeds, title deeds and bank accounts.
The role of Confianz in international inheritance management
Dealing with an international inheritance without advice can lengthen the process and increase costs. At Confianz, we offer customised solutions to simplify every step:
- Comprehensive legal advice to ensure compliance with regulations in each country.
- Tax optimisation to reduce the impact of inheritance taxes.
- Coordination with lawyers and notaries in different countries to expedite procedures.
- Resolution of disputes between heirs to avoid unnecessary litigation.
Our specialised team will accompany you throughout the process, ensuring that the inheritance is distributed smoothly and in accordance with the will of the deceased.
If you need advice on how to manage an international inheritance efficiently and safely, at Confianz we are ready to help you. Contact us and resolve your situation without complications.