MoF Decision No. 142/1 dated 22/03/2021 relating to the collection of the inheritance tax on the value of the compensation for the expropriation of property of a deceased

The Ministry of Finance (MoF), has issued and published the here below Decision No 142/1 dated March 22, 2021 (Official Gazette No 13 dated 01/04/2021) which presents three possible cases concerning the application and the collection of the inheritance tax on the value of the compensation payable for the expropriation of property of a deceased. The solutions differ depending on whether the expropriation order and the attachment decision are both issued after the date of death, before it, or one before and the other after. In the first assumption, no inheritance tax are imposed on the value of the expropriation indemnity, but the immovable property enters into the estate and the transfer costs will be calculated based on the whole area of the immovable property. In the second assumption, inheritance tax applies based on the areas acquired. Finally in the third assumption, the inheritance taxes apply on the value of the entire real estate.

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