Example:<\/strong> A German testator residing in Mallorca<\/strong>, who dies without a will or with a will that does not specify a choice of law, is subject to Mallorcan Foral law<\/strong>.<\/p>\n\n\n\n According to Article 21(1) of the EU Succession Regulation, the entire succession process is governed by the law of the state in which the deceased had their habitual residence at the time of death. This residence is determined by an overall assessment of the individual's circumstances, with the center of their social, familial, and professional ties being decisive. This means that for a German citizen whose habitual residence is in Spain, Spanish civil law or the relevant regional law (e.g., in the Balearic Islands) automatically applies. Similarly, for a Spanish national whose habitual residence is in Germany, German inheritance law applies.<\/p>\n\n\n\n Example:<\/strong> A Spaniard living in D\u00fcsseldorf with vecindad civil (civil territorial affiliation) of Galicia<\/strong> can expressly choose Galician law in his will, to avoid the default application of German inheritance law<\/strong>.<\/p>\n\n\n\n According to Article 22 of the EU Succession Regulation, a testator has the option of choosing the law of the state of which they are a national at the time of making the choice of law or at the time of their death to govern their entire estate. This choice of law must be made in the form of a testamentary disposition (e.g., in a will). It is highly recommended to make a choice of law in order to avoid legal systems with strict rules regarding compulsory shares of inheritance.<\/strong> and to apply more flexible laws (such as German law or certain Spanish regional laws).<\/p>\n\n\n\n Example:<\/strong> A German heir with tax residence in Frankfurt<\/strong>, who inherits real estate in Andalusia and assets in Germany, is subject to the following for the Spanish assets: Andalusian inheritance tax<\/strong>, while Germany the worldwide estate taxed<\/strong>.<\/p>\n\n\n\n The applicable inheritance law and tax law must be considered independently of each other. Inheritance tax liability depends on the domicile of the deceased and the heirs, as well as the geographical location of the estate assets. Since no double taxation agreement exists between Germany and Spain regarding inheritance tax, double taxation is a risk, which can only be partially mitigated by crediting the Spanish tax in Germany under Section 21 of the German Inheritance Tax Act (ErbStG).<\/p>\n\n\n\n According to Article 21 of the EU Succession Regulation, the law of the last habitual residence applies. If a German testator lived permanently in Spain and had his center of life there, Spanish inheritance law (or the respective regional Foral law) automatically applies.<\/strong>. This can lead to significant restrictions on testamentary freedom, as Spanish law grants children strong, in-kind rights to a compulsory share of the estate (the so-called compulsory share). legitim<\/em>) admits.<\/p>\n<\/div><\/div>\n\n\n\n Yes, this is possible under Article 22 of the EU Succession Regulation and is highly recommended.<\/strong>. You can explicitly stipulate in your will that the inheritance law of your German citizenship should apply to your entire estate. This protects you from the strict Spanish forced heirship regulations and ensures the validity of German instruments such as the "Berlin Testament," which is generally prohibited under Spanish law (C\u00f3digo Civil).<\/p>\n<\/div><\/div>\n\n\n\n The EU Succession Regulation follows the principle of the unity of succession.<\/strong>. This means that the entire estate \u2013 regardless of whether it consists of real estate in Spain or bank accounts in Germany \u2013 is uniformly subject to the same inheritance law. Which law applies depends solely on your last habitual residence or whether you made a choice of law in your will in favor of your national law. There is no longer any legal division of the estate based on the location of the property.<\/p>\n<\/div><\/div>\n\n\n\n Previously, the principle of nationality applied: A German citizen could bequeath his estate worldwide according to German law. Today, the principle of habitual residence applies as the standard.<\/strong>. The applicable law is determined by the place where the deceased had their actual center of life. Nationality<\/strong> It only plays a role if the testator... actively selects a legal system through a choice of law in the will<\/strong>.<\/p>\n<\/div><\/div>","protected":false},"excerpt":{"rendered":" The European Succession Regulation (EU Succession Regulation) has governed, since August 17, 2015, which national inheritance law applies in international succession cases. Since then, the law of one's own nationality no longer automatically applies to succession upon death, which has fundamentally changed estate planning for Germans in Spain or Spaniards in Germany.<\/p>","protected":false},"author":1,"featured_media":0,"parent":1743,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"class_list":["post-2010","page","type-page","status-publish","hentry"],"acf":[],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\tChoice of law: The nationality criterion<\/h2>\n\n\n\n
Distinction between applicable inheritance law and inheritance tax law<\/h2>\n\n\n\n
FAQs (Frequently Asked Questions)<\/h2>\n\n\n\n
Which inheritance law applies to a German testator residing in Spain?<\/h3>
Choice of law in a will: Can I stipulate German inheritance law for my estate?<\/h3>
Spanish property, German testator: German or Spanish inheritance law?<\/h3>
EU Succession Regulation explained simply: habitual residence or nationality?<\/h3>