Do international tax treaties call into question the rules governing inheritance declarations?

French tax rules apply subject to international tax treaties. These treaties divvy up taxation rights according to the deceased's country of residence for tax purposes and the location of the assets making up the estate without factoring in the location of the heirs or legatees.

When the international tax treaty provides that an asset is taxable in both countries, the tax paid abroad on assets located abroad may be set off against tax owed in France.

Furthermore, some treaties provide that when exemptions are granted, calculation of the tax relating only to the assets taxable in France is carried out by applying the taux effectif rule (average rate of taxation that would apply if all the assets taxable under French domestic law were taken into account).

You should therefore check if there is a specific international tax treaty on inheritance and refer to it if applicable. The international tax treaties may be consulted on this website.