Donation: a new allowance of € 100,000 until June 2021
Since July 30, 2020, a new deduction of € 100,000 has been applied in the event of the
of sums of money paid to relatives. This device applies in 3 situations.
Since July 30, 2020, a new deduction of € 100,000 has been applied in the event of the donation of sums of money paid to relatives. This device applies in 3 situations.
Article 790A bis of the French Tax Code provides that donations of sums of money granted in full ownership to a child, a grandchild, a great-grandchild or, in the absence of such descendants, a nephew or a niece, are exempt from free transfer taxes up to a limit of € 100,000 if they are assigned by the donee , at the latest, the last day of the third month following the transfer to:
- the creation or development of a small business with less than 50 employees (via a capital increase), subject to certain conditions being met
- the financing of energy saving works in their main residence
- the construction of its main dwelling.
This device is temporary. It covers amounts paid up to June 30, 2021. The donee can only benefit from the device once per donor. For the same donor, the sum of the donations having benefited from the exemption cannot exceed an amount of 100,000 €.
Please note: this exemption does not apply to payments made by the donee for subscriptions that have given rise to certain tax reductions.