succession immobilière bruxelles · article
Property inheritance in the Brussels-Capital Region
Property inheritance in Brussels: succession duties, property valuation, declaration deadlines and the role of the certified property expert.
Property inheritance in the Brussels-Capital Region is governed by regional tax law, with succession duties among the highest in Europe for non-direct heirs. The correct valuation of property at the date of death is a central issue: it determines the amount of duties payable and can be challenged by the tax authorities in the event of undervaluation. This guide details the procedures, the tax framework and the role of expert valuation.
Succession duties in the Brussels Region
The applicable scales
Succession duties in the BCR are calculated on a progressive scale applied to the net share (value of the inherited share minus liabilities) of each heir:
In the direct line (between spouses/cohabitants and descendants)
| Band | Rate |
|---|---|
| €0 – €50,000 | 3% |
| €50,001 – €100,000 | 8% |
| €100,001 – €175,000 | 9% |
| €175,001 – €250,000 | 18% |
| €250,001 – €500,000 | 24% |
| Above €500,000 | 30% |
Between brothers and sisters
| Band | Rate |
|---|---|
| €0 – €12,500 | 20% |
| €12,501 – €25,000 | 25% |
| €25,001 – €50,000 | 30% |
| €50,001 – €100,000 | 40% |
| €100,001 – €175,000 | 55% |
| €175,001 – €250,000 | 60% |
| Above €250,000 | 65% |
Between all other persons
Rates range from 40% to 80% depending on the band.
Exemption for the family home
The Brussels Region grants an exemption from succession duties on the family home in favour of the surviving spouse or cohabitant. This measure, which can represent a saving of several tens of thousands of euros, is subject to conditions of actual residence.
The inheritance declaration
The deadline
The inheritance declaration must be filed with the competent Sécurité juridique office (formerly the registration office) within 4 months of the death (if the death occurred in Belgium). Any delay is subject to administrative fines and default interest.
Valuing real property
Each property in the estate must be declared at its market value at the date of death. Market value is the price that an informed, reasonable buyer would be willing to pay for the property under the market conditions prevailing at the date of death.
This is a delicate exercise because:
- A declared value that is too low risks a tax reassessment by the authorities: they may value the property themselves and claim additional duties, plus fines
- A declared value that is too high results in overpayment of succession duties, which is difficult to recover
The central role of property expert valuation
Why commission an expert valuation
Expert valuation in the context of an inheritance serves a dual purpose:
-
To determine market value in a reliable, documented manner: the expert report is a reasoned document, supported by comparables and a recognised methodology, which underpins the declared value.
-
To protect the heirs in the event of a tax audit: if the authorities challenge the declared value, the expert report constitutes robust evidence of the heirs’ diligence and the reliability of the valuation.
The timing of the valuation
The valuation must be carried out as soon as possible after the death, ideally within the first few weeks. The value must reflect the condition of the property and the market conditions at the date of death, not those prevailing three or six months later. An expert report produced promptly carries more weight with the authorities.
Expert valuation vs online tools
Online estimation tools are unsuited to the inheritance context. They do not produce a reasoned report, do not take into account the actual condition of the property and carry no evidential weight in the event of an audit. Only an expert valuation report prepared by a certified expert meets the standard of rigour required by the tax authorities.
Special cases
Division between heirs
When several heirs share a property, the expert valuation determines the value of each share. If the heirs cannot agree on the division, the property may be sold at a public auction by order of the court.
Anticipated gift
To reduce succession duties, some owners consider transferring assets during their lifetime by way of gift (donation). Gift duties are generally lower than succession duties in Belgium. Expert valuation is then necessary to establish the value of the gift, which is the basis for calculating the duties payable. Consult our expert valuation for gifts service.
Usufruct and bare ownership
The splitting of ownership rights (usufruct to the spouse, bare ownership to the children) is a common mechanism in succession planning. The value of the usufruct is calculated based on the age of the usufructuary according to official conversion tables. The expert valuation covers full ownership value, from which the respective shares are calculated.
Property abroad
If the deceased owned property outside Belgium, that property is in principle subject to succession duties in the country where the property is located. However, it must be declared in the Belgian estate, and Belgium grants a tax credit to avoid double taxation.
Planning ahead for succession
Estate planning can considerably reduce the tax burden. Available tools include gifts with reserved usufruct, accretion clauses, life insurance policies and the formation of a family holding company. A specialist adviser (notary, tax consultant) is essential to structure the operation.
Contact our practice to plan the expert valuation of your real estate assets in the context of an inheritance or a gift project.