French property buyers 'should consider IHT'
People who are relocating to France on a permanent basis have been advised to consider the tax implications of such a move.
Marjorie Mansfield from independent financial adviser Siddalls stated that if overseas property buyers moved there full-time, they would be liable to pay inheritance tax (IHT) on their worldwide assets.
However, she stated that this would not be the case if a person owned a French holiday home, as only this would fall under the scope of the country's tax regime.
Speaking to the Telegraph, she stated: "If you are resident in France - that is, you spend more time there than elsewhere, or have your main residence there - then your worldwide estate will be subject to French IHT."
The country's government recently reformed the country's IHT system so that only the wealthiest people would be liable to pay.
Under the new rules, the amount a parent can bequeath to each child before paying the tax has trebled to £100,000.
The UK government has also recently raised the IHT threshold, doubling it from £300,000 to £600,000.
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