Ask a tax advisor on the topic of Real estate taxation

Donation of my property to my wife.

June 27, 2011 | 20,00 EUR | answered by Michael Herrmann

I would like to gift my single-family house to my wife.
What taxes do I have to pay then?
The house was built in 1985 and is currently occupied by us.
Please give me a message on how I can solve the problem most cost-effectively. Since I am retired and only receive €392 in pension.

Michael Herrmann

Dear inquirer,

First of all, thank you for your inquiry, which I am happy to answer based on the information provided and in the context of your initial consultation. The response is based on the description of the situation. Missing or incorrect information about the actual circumstances can affect the legal outcome.

In principle, the gifting of a property constitutes a taxable acquisition. In addition to the general exemption of €500,000.00 for gifts and inheritances to spouses (every 10 years), which remains tax-free, Section 13 (1) No. 4 a) ErbStG provides for the exemption from tax for the gifting of the "family home". If the property is used for one's own residential purposes, the gift is tax-free.

Therefore, the gift is tax-free as long as the house is used for one's own residential purposes, and additionally benefits from the exemption of up to the value of €500,000.00.

I hope that these details have provided you with a sufficient overview of the situation within the scope of your inquiry and this initial consultation, and remain

Yours sincerely,

Michael Herrmann
Diploma in Financial Management (FH)
Tax advisor