Wealth transfer estimates and taxation rules

The upcoming massive transfer of wealth, often referred to as the ‘great transmission,’ is estimated by the Conseil supérieur du notariat (CSN) to be approximately 6,200 billion euros. This figure, which accounts for transfers via inheritance, donations, and life insurance, is lower than previous estimates of 9,000 billion euros.

Experts note that more than 60% of successions currently escape taxation, and over one-quarter are prepared through donations. While the government aims to encourage earlier donations to stimulate economic growth, notaries suggest that these transfers may not provide the significant tax windfall for the state that some expect, as inheritance duties represent only about 4.5% of state tax revenue.

Effective wealth management involves understanding various legal mechanisms, including simple donations, ‘donation-partage’ (distribution of assets among heirs), and manual donations of movable property. These tools allow for the anticipation of estate planning to reduce future succession costs and support family members during the donor's lifetime.