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Apart from inheritance, the parents can also set up a form of "parental donation" of their property to their children, but continue to make full use of the prop
by simosx 10y ago
Apart from inheritance, the parents can also set up a form of "parental donation" of their property to their children, but continue to make full use of the property (live on the property or keep all the rent) as long as they are alive.
And the difference between "inheritance" and "parental donation", is that the latter was set up decades ago when it was cheap to do so.
What you are reading in this article is cases where they did not plan for the future.
In addition, the article does not provide information about the condition of the property. In many cases, the property would be an old house at a village that may not habitable or small olive groves that have little value.
- StavrosK 10y ago> What you are reading in this article is cases where they did not plan for the future. Weird how that sentence became what it is with the benefit of hindsight. If things had gone the other way, and inheritance was cheaper than parental donation, you'd be saying "those chumps donated when it was more expensive and did not plan for the future". It's easy to plan for the future when you already know what it will be. In other cases, I wouldn't be so absolute.
- simosx 10y agoThe wording could have been better. My stronger point in the reply should be my hunch that many of the inheritances may not be profitable enough to pay the inheritance tax. There should be an article that dives into those rejected inheritances and figure out what exactly was not accepted.
- charlesdm 10y agoWhat you are describing is Usufruct: https://en.wikipedia.org/wiki/Usufruct https://en.wikipedia.org/wiki/Usufruct