Inheritance Lawyers in Luxembourg

Updated on Friday 03rd December 2021

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The Luxembourg Civil Law contains provisions on inheritance matters. According to it, Luxembourg citizens can draw up wills through which they can leave a part of their estate based on their last wish. However, it is also worth noting that the Inheritance Law provides for forced heirship rules, under which children are entitled to a pre-established portion of their father’s or mother’s estate.

Apart from these, there is also the matter of the inheritance tax in Luxembourg.

When dealing which such cases, it is best to rely on our inheritance lawyers in Luxembourg who can provide tailored support. Our law firm can offer various legal services to foreign and Luxembourg nationals.

Services provided by our inheritance lawyers in Luxembourg

Our Luxembourg lawyers are at the service of people who want to know their rights in respect to the Inheritance Act.

We offer a wide range of services, among which:

guidance in understanding the provisions of the Inheritance Law;
assistance in drafting wills for local and foreign citizens;
support in claiming an inheritance in Luxembourg;
detailed information on the Luxembourg inheritance tax;
legal support in contesting a will.

Our lawyers are at the service of foreign citizens who have inherited assets in Luxembourg and want to know the laws they must abide by.

Drafting a will in Luxembourg

Our inheritance lawyers in Luxembourg advise people to write their own wills, however, they should also consider the forced heirship regulations when doing so. This is why, the testament can be written in the presence of one of our specialists who can also be a witness.

Respecting these rules will help the testator make sure that his last desire will be respected within the boundaries of the law. In order to understand what forced heirship means, one should note it implies that regardless of the content of the testament, a part of the estate is reserved to the children of the person drawing it as it follows:

if the person has one child, 50% of the inheritance is his/hers;
if the testator has two children, 66.6% of the estate will be divided between them;
in the case of three or more children of the testator, a quota of 75% of the estate will belong to them.

This leaves the remaining part to be divided between other heirs according to the last wish written in the will. There is also the possibility for one or more of the children to give up their part of the estate, however, one must file a declaration with a local court of justice. Our attorneys in Luxembourg can help in such matters.

When it comes to the inheritance tax in Luxembourg, it will be paid based on specific rules.

The Luxembourg inheritance tax

The inheritance tax is imposed on the entire estate of a tax resident in Luxembourg. This means that permanent residence holders owning assets in the Grand Duchy must also pay it. The levy is supported by the beneficiaries of the estate. However, it should be noted that real estate property in other countries is not included, and no tax will be paid in this country on it. In this case, the heir must consider the laws of the state in which the property is located.

The inheritance tax in Luxembourg is levied based on the value of the assets and the relationship of the heir to the testator. The rate is computed in accordance with the net share of each beneficiary. Another important aspect to consider is that the division of the assets rely on:

the legal part which depends on the relationship of the heirs to the deceased person;
the extra-legal part which depends on whether the respective part was left to the heirs through a testament, donation, or other means.

Considering these aspects, we recommend using the expertise of our inheritance lawyers in Luxembourg who can guide you from a legal point of view.

Rates of the inheritance tax in Luxembourg

The inheritance levy relies on a two-tier base system. The first one is applied based on the heirs’ relationship with the deceased and the second depends on the value of the assets inherited which leads to an increased base rate.

Here are the rates of the inheritance tax in Luxembourg:

the base rate varies between 0% and 15% depending on the line of descent of the heirs;
based on the extra-legal portion, to the base rate another 0% to 15% applies if the estate does not exceed 10,000 euros per heir;
if the value of the inheritance exceeds 10,000 euros, the percentage increase added to the base rate ranges from 10 and up to 220%.

If you need assistance in claiming an estate in Luxembourg, do not hesitate to contact our local law firm. We are at your service with various legal services for civil law matters.