Inheritance Tax Guidance for Heirs in Italy and France

Italy has introduced new inheritance and donation tax rules that take effect from 1 January 2025, with a self‑assessment system for the tax due on real estate and other assets. Heirs must file the succession declaration within 90 days, with possible extensions and the option of installment payments for amounts above €1,000. The reforms also integrate these taxes into the broader register of indirect taxes introduced by Legislative Decree 123/2025.

In France, heirs facing high succession duties on inherited property can avoid an immediate sale by using several payment options. Funds left by the deceased can be released by the notary, though they are themselves taxable. Deferred payment is allowed when the heir receives bare ownership or the surviving spouse continues to live in the home, with the tax payable upon the spouse’s death. A fractional payment plan spreads the duty over five years in up to seven installments if more than half of the estate consists of illiquid assets. When these measures are insufficient, a mortgage‑backed loan on the inherited property may be obtained.

Both countries aim to ease the financial burden on heirs while ensuring tax compliance.