Life and PER insurance: how to optimize the abatements after 70 years?

In the “major savings meeting” (capital / radio heritage), Géraldine Métifux, managing partner of the Alter Egale firm, responds to Colette, who seeks to optimize the taxation of the transmission of her investments.

Capital video: how to optimize life insurance and PERs?

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Each month, the “big savings meeting” (capital / radio heritage) answers your questions in the “your questions, our answers” sequence. Our experts – notaries, taxpiens, heritage advisers – accompany you on all your money questions. Today, Colette wonders about the tax reduction applicable in the event of death to its contracts open after 70 years: life insurance valued up to 30,500 euros and a retirement savings plan (PER) that it continues to feed each year.

First point should be noted: the reduction of 30,500 euros mentioned in article 757 B of the general tax code, and the latter is common to all life insurance and PER contracts, when they were supplied after 70 years. “This reduction applies only once, all beneficiaries combined”, Specifies Géraldine Métifux, managing partner of the Alter Egale firm.

A global allowance for both contracts

However, the rules differ slightly depending on the product: “For life insurance, the reduction relates to bonuses paid after 70 years, but also on interests and gains, which are also exempt from inheritance tax. Which is not the case with a per“Recalls our guest. In other words, the interests capitalized on the PER do not benefit from any exemption. And beyond the reduction of 30,500 euros, the balance is reinstated to the inheritance assets, subject to the classic scale of inheritance tax.

Thus, to transmit in the best conditions, the wealth manager recommends combining its contracts: “It is often more effective to have an open contract before 70 years and another after, because we can thus accumulate two tax regimes: one with a reduction of 152,500 euros per beneficiary, the other with 30,500 euros overall”, advises Géraldine Métifux.

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