Erfbelasting

Erfbelasting is a tax on the transfer of assets from a deceased person to his or her heirs or legatees. It applies to the value of the estate that passes to beneficiaries and is typically charged by the government or regional authorities. The tax is distinct from taxes on the income generated by assets and from capital gains taxes, and it is generally paid by the recipients of the inheritance rather than by the estate itself, though the exact arrangements vary by jurisdiction.

The tax base usually consists of the net value of the inherited property, after deducting debts, funeral costs, and certain allowances. Real estate, bank deposits, investments, and business interests can be part of the inheritance subject to erfbelasting. Some assets may be exempt or receive favorable treatment, and there are often rules about how the value is determined for tax purposes. In many systems, spouses or registered partners and close relatives receive favorable treatment, including higher allowances or reduced rates.

Rates and exemptions are typically organized in brackets or bands and depend on the relationship between the deceased and the beneficiary. Higher or distant relations often face higher rates. Many jurisdictions also provide exemptions or reliefs, such as a personal allowance per heir or reliefs for the transfer of a family business or primary residence under certain conditions.

Administration and planning play a key role. An executor or administrator usually files an inheritance tax return, and taxes are payable within a defined period. Earlier planning through testamentary arrangements, gifts before death, or the use of charitable bequests can influence erfbelasting, sometimes reducing liability.

Regional and national rules vary. Erfbelasting is used in Dutch-speaking regions and interacts with related taxes like gift tax (schenkingbelasting); the exact rates, thresholds, and reliefs depend on the country or region.