Inheritance Tax and Gift Tax

Legal advice by LHP Attorneys on inheritance and gift tax

Almost no other type of tax lends itself to proactive structuring as the inheritance tax or the gift tax do, both are sometimes colloquially referred to as “fool’s tax”. Our specialists at LHP Attorneys in Cologne can implement a succession strategy, which is customized and tax-optimised for your personal situation in respect of inheritance/gift tax law. Because a number of legal terms remain unclear following the reform of the Inheritance Tax Act and the Gift Tax Act, and because it is obvious that this ambivalence will entail disputes with the Tax Authority in the case of anticipated succession (gift) or an inheritance, it is recommended to obtain legally binding advice from the Tax Authority, in particular if large fortunes are involved. Our tax attorneys and tax advisers are specialising in succession advice and taxation dispute proceedings and will assist you in the preparations and application for legally binding advice.

Tax affairs may still be structured pro-actively,even after a succession event has occurred, e.g. to save inheritance tax by way of disclaiming an inheritance or by only claiming a compulsory portion.

Inheritance tax returns and gift tax returns

In both cases, inheritance tax returns and gift tax returns must be submitted. Our tax advisers at LHP Attorneys in Cologne will support you. We will report the inheritance or the gift to the Tax Authority on your behalf. If necessary, we will prepare the inheritance tax return and gift tax return for you. If the Tax Authority departs from the particulars in the tax returns, our advisers specialised in tax disputes will assist you in extrajudicial objection proceedings and will also bring litigation before the Fiscal Courts all the way to the Federal Fiscal Court. As far as questions concerning European law require clarification, we will support you in approaching the European Court of Justice.

Comprehensive advice by a tax adviser and tax law specialist

As attorneys, tax advisers and tax law specialists in Cologne, we offer comprehensive advice under one roof.

• Drafting of inheritance tax returns and gift tax returns
• Obtaining legally binding advice
• Support in taxation dispute proceedings (objections, stay of enforcement, proceedings before the Fiscal Courts) in inheritance tax / gift tax matters.
• Undeclared income as part of an inheritance - Advice on voluntary self-disclosure

The inheritance tax law and the gift tax law have many “tax traps”, which are sometimes overlooked by tax advisers and even inheritance law specialists. A consideration of the tax consequences of an inheritance is often omitted or inadequate. Sometimes, a structure set-up for inheritance tax and gift tax situations is inadequately implemented. For matters related to the structuring of succession arrangements involving company assets, it is recommended to instruct an attorney/tax adviser/law specialist who is specialised in inheritance tax .  

We assist clients all over Germany and in particular in Cologne, Bergisch Gladbach, Bensberg, Dormagen, Neuss, Düsseldorf, Remscheid, Wuppertal, Bonn, Siegen, Siegburg, Solingen, Bergheim, Brühl, Aachen and surrounding areas in managing their tax affairs after a succession or receipt of a gift, as well as in questions of company and wealth succession.