Ask a tax advisor on the topic of Inheritance tax

Sale of a forest

May 30, 2010 | 15,00 EUR | answered by Matthias Wander

I am the executor of a community of heirs consisting of three heirs. The death of the testator was in October 2008. The inheritance (monetary values) was well below the threshold for inheritance tax. The estate also includes a forest. There is no income from this forest.

The forest was appraised (approx. 42,000 euros). So far, however, it has not been possible to sell it.

Do I, as the executor, need to file an income tax return for the community of heirs because of the ownership of the forest?
If not: Do I need to declare ownership of the forest in my own tax return and each of the other heirs in theirs?

Thank you for your efforts.

Matthias Wander

Dear inquirer,

Thank you for your inquiry, which I would like to answer based on your information and in the context of your commitment within a initial consultation.

In the income tax return, only income is declared. Pure assets from which no income is generated do not need to be declared. If income is generated from the forest (e.g. leasing, taxable sale), it will be declared in the separate and uniform determination for the community of heirs.

I hope I could be of help to you.

Best regards,

Wander
Tax consultant