Q&A Corner – How are successions taxed in France and what allowances apply?

Q: How are successions taxed in France and what allowances apply? 

A: Inheritance tax in France is based on your relationship to the deceased and the net amount you inherit after allowances. 

This is a summary of the most common allowances: 

Parent to child: Each child receives a €100,000 allowance per parent.  

Tax rates on the remainder: 

• Up to €8,072: 5% 
• €8,073-€12,109: 10% 
• €12,110-€15,932: 15% 
• €15,933-€552,324: 20% 
• €552,325-€902,838: 30% 
• €902,839-€1,805,677: 40% 
• Over €1,805,677: 45% 

Spouses or PACS partners: Fully exempt from inheritance tax if legally married or PACSed.

Siblings: A €15,932 allowance, then 35% (up to €24,430) and 45% beyond. 

Life Insurance (Article 990 I) 

• If premiums were paid before age 70: €152,500 allowance per beneficiary, then 20% (up to €700,000) and 31.25% above. 
• If paid after age 70: normal inheritance tax applies, but only on premiums over €30,500 (not the gains).