Taxation of gifts: allowances

Application pratique:

This case law confirms Sophie should make multiple gifts spaced 15 years apart instead of one large gift. By gifting €100,000 now (using the parent-child allowance of €100,000), she pays no tax. She can repeat this every 15 years, eventually transferring the apartment tax-free. Action: split the gift into smaller portions over time, consulting a notary to formalise each donation.

Application pratique:

The ruling encourages Jean to give €31,865 per grandchild every 15 years (the tax-free allowance for grandparents). A single lump sum would be taxed above that threshold. By gifting €31,865 now to each grandchild, and repeating in 15 years, he transfers the amount tax-free. Action: stagger gifts over multiple 15-year cycles, using simple cash donations with a notary's declaration.

Application pratique:

Instead of a single donation, they can give 50% of the property to each child separately, using the €100,000 parent-child allowance per parent per child. That allows €200,000 tax-free per child (both parents each give €100,000). They can then donate the remaining value in 15 years. Action: perform a donation in stages: a half share now, the rest after 15 years, via a notarised deed.