Overview
- Both the giver and the recipient must notify the local tax office of a monetary gift within three months, even below allowance thresholds.
- Tax‑free allowances depend on the relationship: €500,000 for spouses or registered partners, €400,000 for children or stepchildren, €200,000 for grandchildren, and €20,000 for others.
- All gifts between the same parties are aggregated over ten years, so small or repeated transfers can later become taxable.
- Once allowances are exceeded, gift tax applies at rates that vary by kinship class, generally ranging from 7% to 50%.
- Failure to report can lead to back taxes and interest, with deliberate non‑disclosure risking tax‑evasion charges; customary occasion gifts, reasonable maintenance support, and notarised or court‑recorded transfers are exempt from reporting.