Taxation of cross-border inheritances and donations (FM nr. 165) 2021/3.1.1.2:3.1.1.2 Assessment of the personal link with a different person (donor-based and donee-based taxes)

Taxation of cross-border inheritances and donations (FM nr. 165) 2021/3.1.1.2

3.1.1.2 Assessment of the personal link with a different person (donor-based and donee-based taxes)

Deze functie is alleen te gebruiken als je bent ingelogd.Deze functie is alleen te gebruiken als je bent ingelogd.Deze functie is alleen te gebruiken als je bent ingelogd.

Not all states assess the personal nexus concepts at the level of the deceased. Although a vast majority of the states establish worldwide tax jurisdiction if the deceased had a personal link with their territory (for instance, if he resides or is a national of that state), some states establish worldwide tax jurisdiction if the beneficiary has a personal nexus with their territory.1, 2

The parallel application of death tax legislation, assessing the personal link at a different person may often result in double taxation. This is possible, for instance, if State A imposes worldwide inheritance tax liability on the beneficiary because the deceased was residing in its territory at the time of his death, whereas State B imposes worldwide inheritance tax liability because the beneficiary resides in its territory.

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Furthermore, it is uncertain whether State A will provide double taxation relief for the tax paid in State B (see also section 3.1.1.10) as it was assessed on a different person (albeit being paid by the same taxable person).

Deze functie is alleen te gebruiken als je bent ingelogd.