Succession: Can my parents deviate from their inheritance for the benefit of my sister or my children?

In the “Great Savings Rendez-vous” (Capital / Radio Patrimoine), Nathalie Couzigou-Suhas, notary in Paris, and Guillaume Berthiaux, president of Sofidy Private Management, respond to Stéphane, worried about being underprivileged for the benefit of other family members.

Capital video: Can my parents deviate from their succession for the benefit of other family members?

• 
  

  To safeguard
  

  
  
  

  Saved
  

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, Stéphane, father of five and cold with his parents, wonders: can they, by will or via a life insurance clause, only promote his sister or some grandchildren?

Let’s start with the donation between spouses – or donation to the last living – to which Stéphane’s parents may, he said, have recourse. This type of donation allows the surviving spouse to choose the option most favorable to his death. “The surviving spouse can opt for the total usufruct of the heritage, which amounts to freezing the share of children until his own death or up to a sale decided by mutual agreement”, Recalls Nathalie Couzigou-Suhas, notary in Paris. Result: Stéphane would not touch anything immediately, but that does not mean that it is excluded from the succession.

By will or life insurance, Stéphane can be disadvantaged

On the question of unequal sharing between heirs, the answer is more nuanced. “In French law, it is not possible to completely disinherit a child”specifies Guillaume Berthiaux, president of Sofidy Private Management. Each child is a reservation heir: in the case of Stéphane, with a sister, the reserve rises two thirds of the heritage, distributed in equal parts. The other third party, called available quota, can be attributed freely to another child or a little child. “Your parents could, by will, bequeath two thirds of the heritage to your sister, and the third party remaining to you or some grandchildren”envisages Nathalie Couzigou-Suhas.

Things get complicated with life insurance, which escapes the rules of the hereditary reserve … except in the event of abuse. “Through this, you can promote a little child or one of the children, provided that you do not pay manifestly exaggerated premiums”warns the notary. Finally, beware of any inheritance tax on bare ownership, which Stéphane could have to pay: “If the value of goods exceeds legal abatements, the beneficiaries will have to pay rights, even if the usufruct is kept by a third party”note Guillaume Berthiaux. Fortunately, as Nathalie Couzigou-Suhas recalls, “The tax administration allows deferred payment with interest, until the death of the usufructuary”.

Ask our experts to our experts

A question about your investments, a succession, your taxes or your real estate investments? Each month, we select several and submit them to our experts who will enlighten you on all the subjects that affect your money. To ask them your questions, an address: [email protected]