A taxable person who inherits property subject to inheritance tax (immovable property, movable property, securities or money) does not have to file a tax return. The inheritance tax is assessed on the basis of data contained in the final decision on inheritance, which is sent by the court to the Financial Administration.
The basis for assessing tax is the value of the inherited property at the time when the tax liability arises, reduced by debts, costs and burdens secured on the property that is subject to such tax. In the case of movable property, the tax base is reduced by EUR 5,000. The tax rates vary according to the order of succession. Read more on these topics in detailed descriptions.
Persons liable for inheritance tax must pay such tax within 30 days of the service of a decision.
The inheritance tax constitutes the revenue of the municipality in whose territory the property is situated and is paid to the municipality's transitional sub-account, payment reference code SI19 DŠ-98000.
In the case of inheritance, heirs are not liable to file an inheritance tax return since the tax is assessed ex officio in accordance with the decision on inheritance received from the court.
The following persons are exempt from inheritance tax: heirs of the first order of succession (child, adopted child, spouse or cohabiting partner of the deceased), son-in-law, daughter-in-law, stepchild of the deceased, and persons with whom the deceased lived in a registered same-sex partnership. Tax is further not due if only movable property is inherited not exceeding the total value of EUR 5,000. The exemption also applies to farmers who inherit agricultural land. The legislation also allows for other exemptions.
In the event of death of a taxable person, that person's heirs are also responsible for taxes due by the deceased (except for financial penalties, fines and costs of offence proceedings) if on the date of death it exceeds EUR 80 and the heirs do not renounce inheritance. Heirs can check the amount of tax debt due by the deceased with the Financial Administration.
The Financial Administration enforces claims against the deceased during probate proceedings. Upon receipt of the decision on inheritance, the Financial Administration informs the heirs about the amount of tax debt due which they have assumed and provides them with all information necessary to make payment. Heirs are obliged to settle the tax debt within 60 days of the date when the decision on inheritance becomes final. No interest is accrued during the period between the day of death and the day of expiry of the deadline for payment by the heirs.