We advise testators and heirs whose lives or assets span more than one country, from forward-looking estate planning to full administration.
Our clients include in particular
Cross-border estates quickly raise questions about applicable law, proof of heirship and taxation. We most frequently advise in the following situations.
The deceased lived abroad or assets are located in several countries. Before administration begins, the applicable succession law and the persons entitled as heirs or legatees must be determined.
Under the EU Succession Regulation, the last habitual residence, not nationality, usually determines the applicable law. That can lead to unintended results. We clarify the legal position and the available options.
Accounts, real estate or shareholdings are spread across several states. We coordinate the administration with local advisers and ensure that the assets pass effectively in each jurisdiction.
Banks and authorities abroad require proof of heirship. The European Certificate of Succession is valid EU-wide and substantially simplifies the administration. We apply for it and assist with its use before banks, authorities and registers.
An express choice of law in the will can create certainty and avoid unintended consequences under competing legal systems. We align the disposition with all countries concerned.
Real estate abroad is often subject to special rules, and outside the EU a split estate can arise. We coordinate the transfer with the law of the state where the property is located.
Where there is an international connection, inheritance tax can arise in several countries. Double taxation treaties and credits mitigate the burden. We assess the tax liability and coordinate the structuring with the tax adviser.
Heirs in different countries may pursue conflicting interests, and even international jurisdiction may be disputed. We represent clients in the dispute and in the cross-border division of the estate.
Whether the deceased was German with assets abroad or lived abroad with assets in Germany, we coordinate the legal and practical administration across borders.
German Testators with Assets Abroad
You live in Germany and have assets abroad, or you live abroad.
Foreign Testators with a German Connection
An estate with an international connection has to be administered in Germany.
An international estate requires a clear sequence. We guide the process from determining the applicable law and obtaining proof of heirship through to completion.
Outline the key facts of the estate. We assess the legal position in confidence and coordinate the next steps.
Within the EU, the European Succession Regulation determines which law applies to the entire estate. In principle, the law of the state in which the deceased had their habitual residence at the time of death is decisive, not the law of their nationality. A German who lives permanently abroad is therefore succeeded under foreign law, unless they have provided otherwise. That can lead to unintended results. We clarify the legal position and show the structuring options.
The EU Succession Regulation has applied since 17 August 2015 and harmonises, in almost all EU states, the question of which succession law applies and which court has jurisdiction. It follows the principle that a single law applies to the entire estate, in order to avoid fragmentation. At the same time it introduced the European Certificate of Succession. Tax questions are not covered and remain governed nationally. We apply the regulation to your case and coordinate it with the law of third countries.
Yes, within limits. Under the EU Succession Regulation, a person can choose the law of the state of which they are a national, for the entire estate. A German living abroad can thus ensure that German succession law applies, even though their habitual residence is abroad. The choice of law must be made in a disposition upon death, that is, in a will or inheritance contract, either expressly or discernibly. It creates legal certainty and avoids surprises. We structure the choice of law and the disposition to fit.
The European Certificate of Succession is a uniform proof of the status of heir, legatee or executor, recognised in all EU member states except Denmark and Ireland. With it, heirs can prove their entitlement to banks, authorities and registers elsewhere in Europe, without having to conduct separate proceedings in each country. It is issued on application by the competent probate court and is valid for a limited time. For cross-border estates it substantially simplifies the administration. We apply for it and assist with its use abroad.
That depends on where the proof is needed. For administration within Germany, the German certificate of inheritance is usually the right means. If, on the other hand, heirship has to be proved in other EU states, for instance to a foreign bank or land register, the European Certificate of Succession is usually the more practical route, because it is recognised without further proceedings. Both can be applied for alongside each other. We assess which proof is appropriate in your case and obtain it.
Within the EU, foreign real estate is also in principle subject to the uniformly determined succession law. If the property is in a third country, however, a split estate can arise: the law of the state where the property is located then often applies to the property, and a different law to the rest of the estate. This leads to separate proceedings and requires careful coordination. The foreign property also has to be considered separately for tax. We coordinate the transfer with the local law and the local notaries.
Inheritance tax is not covered by the EU Succession Regulation and remains national law. Germany taxes the acquisition comprehensively as soon as the deceased or the heir is resident here, regardless of where the assets are located. At the same time, the foreign state may tax the same assets, so that double taxation looms. It is mitigated by the few double taxation treaties and by the credit for foreign tax. Early structuring is decisive. We assess the tax liability and work together with the tax adviser.
First it is clarified which law applies and who is the heir, then proof of succession is obtained, usually the European Certificate of Succession. The assets in the countries concerned are then secured, liabilities and compulsory portions clarified and the assets transferred, often involving local notaries and banks. At the end comes the tax treatment in the states involved. Because procedures and deadlines differ from country to country, coordination is decisive. We steer the administration as a single point of contact.
Where the co-heirs live in different countries, even communication and the question of the competent court are difficult, and different legal systems can collide. A co-heirship is designed for division, that is, the splitting of the estate, which is complex across borders. The aim is an amicable division, and failing that judicial division. We represent individual heirs or the community and conduct the division, out of court and before the courts.
International estate planning begins with taking stock of residence, nationality and location of assets. On that basis, a choice of law, a coordinated will and, where appropriate, lifetime transfers can avoid unintended results and a split estate and optimise the tax burden. Coordination with the law of all the states involved and with the tax adviser is important. General succession and foundation structuring is covered under wealth succession. We develop the cross-border structure and implement it.
