Unlike probate processes in some countries, Italian inheritance doesn’t automatically transfer ownership of assets directly to individual heirs upon the decedent’s passing. Instead, the process typically involves a declaration of acceptance of the inheritance by the heirs. However, once the legal formalities are concluded, the heirs become co-owners of each and every property within the […]
Tag: inheritance
Joint Inheritance: A Recent Ruling by the Italian Supreme Court
Recently, the Italian Supreme Court (Corte di Cassazione) ruled on a complex case of joint inheritance, providing important clarification on the legitimacy of legal action by individual heirs. The case began with the death of one of two business partners. The surviving partner, without involving the deceased partner’s heirs, registered all the company assets in […]
Invalidity of Agreements Waiving Future Inheritance Rights: A Recent Supreme Court Decision
The Italian Supreme Court recently reiterated that agreements in which parties waive their future inheritance rights are invalid under Italian law. In the case examined by the Court, the agreement was particularly insidious because it initially did not appear to violate the law. However, the Court identified and sanctioned it. Here are the facts. Upon […]
Testamentary trust: an irrevocable tool to protect your properties and assets in Italy
A testamentary trust is a legal tool created in a person’s Last Will and Testament to specify how one’s assets will be distributed to specific beneficiaries. Contrary to a living trust, it comes into effect after one’s death. A testamentary trust involves three main parties: Benefits of a testamentary trust A testamentary trust is an […]
Testamentary trust: assets in Italy transfer to the trustee without paying inheritance taxes
A Testamentary Trust is created in accordance with the instructions in a person’s Last Will and Testament. Differently from a living trust, the testamentary trust starts having effect after the settlor’s death, and so is the trustee appointed. A testamentary trust can be a good way to leave assets to a specific loved one (usually […]
Paternity test ruled admissible, despite alleged father being deceased
The case in question involves a relationship between a wealthy man and his secretary and director of domestic staff, which resulted in a daughter being born but never recognized as the man’s child. In 1953 the man died and shortly thereafter his only heir passed away aswell. The gap between deaths was in fact so […]
How suppressing a will can lead to being excluded from succession
The court outlines two conditions for this sanction to be applied: b) the voluntary destruction of a will. In cases where an heir is accused of destroying a will, destruction of the document (even if the holder is not aware of its content) is sufficient grounds for exclusion from succession. The doctrine does not apply […]
Joint bank account succession: how it works and how much you pay
The first steps to take in a succession for joint bank accounts are the same as in any other succession, i.e. declaration of succession to the Italian tax authority. The declaration is made by the heirs, or an appointed delegate through a power of attorney, to the authorized (and local) revenue agency (in Italy, Agenzia […]
Mandatory Declaration of Succession
What is a declaration of succession? In cases where there are multiple heirs to the estate, only one submission declaring succession is required. If real estate is involved, recording the transfer of deeds in a land registry is also necessary, and involves a series of taxes. The declaration of succession is a legal obligation, and […]
No tax obligations on those renouncing inheritance
Italian Supreme Court Rules No Inheritance Tax on those Renouncing Inheritance According to the judges, “a person called to an inheritance, who has validly renounced it, is not liable for tax debts of the deceased, not even for the period between the opening of succession and the renunciation even if they are among the successors […]
A Mock Case of Cross-Border Inheritance
The complexity of legal issues that arise when deciding which judge has jurisdiction and which law is applicable in a cross-border succession case might be better understood by looking at a detailed, albeit made- up, example of one. For our mock case, let us imagine a California-based married couple in which the husband is an […]
Choice of Law in Italian-American Successions
Choice of Law of Settlors in Italian-American Cross-Border Succession In the area of estate planning, common law jurisdictions typically afford much more discretion to the individual to design a scheme of distribution. Conversely, civil law systems (such as Italy’s) have statutes that tend to be long, detailed, and allow for less discretion on the part […]
Inheritance Taxes Pursuant to Italian Tax Law
Who Pays Inheritance Taxes in Italy? The primary consideration of Italian tax law is registered residence (1). If the deceased was a resident of Italy, citizen or not, the heirs will have to pay succession taxes to the Italian state. Citizenship does not matter. Even if the deceased was a foreign citizen, but had residency […]
Heirs and deceased’s bank accounts in Italy
During the course of succession, heirs assume not only the assets of the deceased, but also liabilities. These liabilities may include relationships with banking or credit institutions, making the heir responsible for all rights and duties due these institutions. In addition, access to personal information must be free and guaranteed in an intelligible form. All […]