Although many of the properties in London are being sold to foreign companies who don't have to pay inheritance tax just imagine how much extra the UK government will be cashing in from increased property values and inheritance tax on property owned by British taxpayers. Absolutely huge. The Brits are disadvantaged in their own land, meanwhile the foreign owned flats are usually dark and the Brits are moving further and further out of London. Meanwhile in many countries Brits are not allowed to buy property!!!!! Never mind the death taxes.
But that applies to whoever owns the property, not just women. The law doesn't care whether the owner of a house is a man or a woman.
I still don't know whether it's a good idea to buy a house in my husband's name only as he has no children.
It is b....y complex problem and from the posts it appears many of us are very concerned. Of course the law is the law and there's not too much we can do about it but I do wish the government wouldn't keep changing the goal posts so we know exactly where we stand. I will contact an advocat when I receive the name of the one in Kent. Watch this space!
Thanks to every one though for making this such an interesting thread.
There was a little tax I believe but only a very little as his son owned the house he lived in and most of the contents. There are two other sons but they didn't really come into it as the house was owned by just one. The notaire seemed totally laid back about the whole affair, as they do here in the wild woods.
That is a good idea Norah, although then the children or step children are waiting impatiently for you to pop off or they decide to push you down the stairs or something ;-)
My French neighbour has told me that is has willed the entire house to his wife on his death - the same as is usual in the UK. But it still has to go to the children on her death. So it is for her lifetime only.
I realise you all are trying to help and support one another but I am really sorry Guys, there is so much, albeit well intentioned, yet confusing information, and more worryingly, misinformation here, that I have to reiterate to recommend you take professional advice with a well versed avocat, advisory company, or international solicitor, not local notaire.
There are double tax treaties that may have to be considered, and also one own personal wishes to be taken into account with an experienced adviser.It maybe that you can't quite achieve what you want, but there maybe something else in your financial make up, that could be used to offset or alleviate the issue elsewhere. Yes they earn fees but if one acts on a tip off on a forum, it could cost more in the long run.
So if we buy another house in Roger's name only will that mean I am first in line for inheritance? If I should then want to sell does his sister inherit 100 per cent or do my children come into the equasion? Our understanding was that he would gift the property to me if he dies first, then I could sell the house without incurring taxes (which sounds too good to be true now) but should I then choose to buy another house (which I wouldn't) it would then be split 50-50 between the two families, his sister paying more taxes than my children. If I die first then he owns the property outright and his sister would inherit the whole lot or if she dies before him, then her two daughters inherit. We have registered wills to the effect that we wish anything left i.e. house then it's split 50-50. We do want to be sure before we buy another house which is likely to be very soon.
Many thanks for your input.
Libby, if your husband has no children you are first in line for an inheritance. Your children will get the house after you. If your husband outlives you, his sister will have to pay huge taxes to get the house. Or it will go to the state. Or he can donate it to your children and pay a huge tax.
If this suits you, there is no reason to change anything, if it doesn't, things will be complicated and expensive.
It recently took some English friends four years (not joking) to sort out their late father's simple estate (no property) in France. They French notaire was incredibly slow and never responded to correspondence. However it's taken me longer with my late aunt's estate in the UK and after four years of acquiring two expensive investment properties the solicitors have still not registered the title!In the meantime they of course paid themselves all the fees as if the work had been done. I only found out by launching my own investigation with the Land Registry. They have been paid more than Ā£25000 in fees to date- not joking again!
I have a French friend who owns a house where the French tenant recently died. The deceased person's family renounced the succession and it's taken six months, plus an avocat's fees, to get possession and all the contents have to be got rid of. In the meantime my friend has received no rent from a prime location property. It's a mess! It's cost her 8000 euros plus the place will need redecoration.
Shirley - Having been through the whole thing I would say that Doreen is correct in what she is saying above. As you know I live in the village of Mielan which is in the deepest SW Gers and have a very well respected Notaire representing my interests who really is a class act. Unfortunately I believe that you live some way from here otherwise I would recommend making an appointment. We will all most certainly be looking to see what happens in 2015!
My late Josette had one child by her previous marriage and I have two sons by my previous marriage. The estate gets divided into two lots of 50% my children getting 25% each and JosetteĀ“s daughter 50%. After Josette had died I immediately saw my Notaire who did the necessary and the deeds now show that I have a life long interest in JosetteĀ“s 50% and own 50% outright. If I sell JosetteĀ“s daughter is immediately entitled to 50% although I can rent the house out. I have heard of some very messy cases where both step children and children from the marriage have made immediate claims where no wills were made.
That is not the problem. One or more of them can more than afford to come to France.
The problem is how will they be able to sell my car and close my bank accounts? I don't want them to spend the rest of their lives arguing with a French court about whether they are my children and/or are my executor with the power to settle my accounts and distribute the funds to the other siblings.
That is what I am afraid of.
In France, the state knows who your children are and it is a simple matter. However there is no record or document in the US which lists all my children. So how are any of them going to be able to prove that they are my son or daughter?
In the US, it is simple, you declare your children in a will and no one cares if you left one out.
Totally agree with you Harriet and its time this tontine clause business is clarified to give peace of mind to many - there was one case on Anglo Info who had this clause in place a few years ago with a similar simple situation to ours and it worked exactly as it should. This means that with this clause in place at the correct time the surviving partner should inherit fully the property concerned and I am speaking as someone who is married and have 2 children.
Re the comment above, (Graham Richards) I have no idea how previous relationships and step children come into it but it was supposed to be the answer for them too.
My wife died three years ago and that is exactly how the tontine clause worked. I now have a life share in my late wideĀ“s half share of the estate. Good job that we drew up French wills as we both had children from previous marriages otherwise they inherit immediately and I have heard this amongst both expats and the French where children have forced the surviving partner out of the house in demanding their share immediately.
An English man died near here and his three English children seemed to be totally disinterested in succeeding. As far as the locals can make out they must have renounced the succession as the bank who had mortgaged the house concerned took the house over, the contents were disposed of and that was that.
I vehemently disagree with you. The tontine clause, if properly drafted, and was put in the initial sales contract as well as acte de vente, the property becomes the survivor's property on the death of the other owner. It doesn't reduce inheritance taxes if, for example, the parties are not married, but the property will be passed to the survivor regardless of children.
... and yes, you can disinherit your children in the UK. It might be wise to mention that you have the children but are making no bequests to them in the will to avoid someone assuming that one forgot them
From what I have understood (recently) the Tontine clause is not worth the paper it is printed on. But correct me someone if I am wrong, I did not think you could totally disinherit your children in the UK either?????????? Surely they can go to Court and have the will overturned can they not?