Table of contents (8 sections)
Estate planning is a topic most expats never get around to. They think about health insurance, tax status, housing. Rarely about a will, and almost never about which country’s law will govern their estate from abroad. Yet dying as an expat without any preparation can leave your heirs in an extremely complicated situation: two countries claiming jurisdiction, double taxation, endless delays, and an inheritance distribution you would never have chosen.
Why succession becomes more complex abroad
Two legal systems, two tax systems
As soon as you hold assets in more than one country, or live outside your country of nationality, inheritance moves out of domestic law and into the realm of private international law. Two distinct questions arise simultaneously.
The first is legal: which law governs the rules of devolution — who inherits what, which forced heirship rules apply, how much testamentary freedom do you have?
The second is tax: which states are entitled to levy inheritance tax, and on which assets?
These two questions are independent of each other. An estate can be governed by French law on the legal side but subject to the tax regimes of two different countries on the fiscal side. That is precisely what makes international succession so hazardous without preparation.
The three factors that create complexity
The more of the following factors you combine, the more complex your estate situation becomes:
- Habitual residence in a country other than France
- Nationality different from your country of residence (or dual nationality)
- Real estate in more than one country
- Heirs who are themselves resident in different countries
A French national living in Dubai with a flat in Paris, whose children live in France and Spain: this is a situation that simultaneously engages several national legal systems.
The law applicable to the estate: EU Regulation 650/2012
The principle of last habitual residence
Within the European Union, it is EU Regulation no. 650/2012 on succession matters, which entered into force on 17 August 2015, that determines which law applies. This regulation applies in all EU member states (except Denmark, Ireland and the United Kingdom, which did not adopt it).
The basic principle is straightforward: the law applicable to the succession as a whole is that of the state in which the deceased had their habitual residence at the time of death. If you die as a resident of Portugal, it is in principle Portuguese succession law that governs your estate, including assets located in France.
This is a significant shift from the old French rule, which subjected movable assets to the law of the deceased’s domicile and immovable assets to the law of the place where they were located (the “split” rule). Under Regulation 650/2012, the rule is unity: one law for everything.
For expats outside the EU (Dubai, Thailand, United States, etc.), the regulation does not apply directly, but EU courts may still use it when determining the applicable law. The situation is then less predictable and depends on each state’s own rules.
Professio juris: choosing the law of your nationality
Regulation 650/2012 offers a valuable option for expats: professio juris, meaning the possibility of choosing in your will that the law applicable to your estate will be the law of your country of nationality rather than your country of habitual residence.
This choice must be express — clearly stated in the will. It is particularly useful in two situations:
- You live in a country whose succession law is very different from French law (for example, a country that does not recognise forced heirship), and you want to protect your heirs under French rules.
- You live in a country whose succession law gives less protection to the surviving spouse.
A French national resident in Portugal can therefore designate French law in their will. The succession will then be governed by French civil law, with its forced heirship rules.
Full information on this procedure is available on the European Commission’s e-Justice portal.
French forced heirship vs testamentary freedom
The forced heirship principle in French law
French succession law is built on the concept of the réserve héréditaire (forced share): a portion of the estate is automatically allocated to forced heirs (children, and in their absence the spouse), regardless of the deceased’s wishes. This portion cannot be freely disposed of.
In practice, if you have one child, the forced share is one half of your estate. With two children, it is two thirds. With three or more, three quarters. The freely disposable portion (what you can leave to anyone you choose) is the remainder.
What happens if the applicable law does not recognise forced heirship?
Many countries, particularly in the English-speaking world (United Kingdom, United States, Australia) and the Middle East, grant near-total testamentary freedom. If the law applicable to your succession is that of one of these countries, you can legally disinherit your children or heavily favour one heir over others.
Since 2021, French law has evolved on this point: Law no. 2021-1109 introduced the possibility for a child to claim, on assets located in France, the application of the French forced share even if the foreign applicable law does not provide for it. This protection has a limited scope, but it acts as a safety net for children who are heirs and resident in France.
This is one more reason to formalise your wishes in a will rather than leaving the situation to resolve itself without preparation.
Taxation of cross-border inheritance
The risk of double taxation
On the tax side, the situation is trickier than on the legal side, because tax treaties specifically dedicated to inheritance are rare. France has concluded such treaties with only a handful of countries (United States, Germany, Spain, Belgium, Sweden, Switzerland, Finland, New Caledonia, French Polynesia…).
In the absence of a treaty, the risk of double taxation is real: each state can levy inheritance tax on the assets connected to it under its own legislation. France can tax French assets; the country of the deceased’s residence can tax the entire worldwide estate; the country of the heirs’ residence can also tax the sums received.
To mitigate this risk even without a treaty, French tax law provides a tax credit mechanism: inheritance taxes paid abroad can be offset against the French tax due on the same assets, provided certain conditions are met. But this mechanism does not cover every case.
The determining factors of applicable taxation
Three parameters determine what tax applies in France:
| Situation | Assets taxable in France |
|---|---|
| Deceased was a French tax resident | All worldwide assets |
| Deceased was non-resident; heir has been resident in France for more than 6 years out of the last 10 | All worldwide assets received |
| Deceased was non-resident; heir is non-resident (or resident for fewer than 6 years) | Only assets located in France |
This rule is set out in article 750 ter of the French General Tax Code. It is central to understanding the tax exposure of expats. A non-resident French national whose children have lived in France for more than 6 years will be subject to French inheritance tax on the entirety of the estate passed on, not just on the French assets.
For detailed tax rules, service-public.fr and the Chambre des Notaires website are the freely accessible references.
Law and taxation by situation: summary table
| Deceased's residence | Heirs' residence | Assets | Succession law (EU) | French taxation |
|---|---|---|---|---|
| France | France or abroad | All | French law | All worldwide assets |
| EU (e.g. Portugal) | France (> 6 years / 10 years) | All | Portuguese law (unless professio juris) | All worldwide assets received |
| EU (e.g. Portugal) | France (< 6 years / 10 years) | French assets only | Portuguese law (unless professio juris) | Assets located in France |
| Non-EU (e.g. Dubai) | France (> 6 years / 10 years) | All | Variable depending on third-country rules | All worldwide assets received |
| Non-EU (e.g. Dubai) | France (< 6 years / 10 years) | French assets only | Variable depending on third-country rules | Assets located in France |
Real estate located in France
A specific tax treatment
Regardless of your residence, regardless of where your heirs live, real estate located in France remains subject to French inheritance tax. This is the lex situs rule: the law of the place where the property is situated applies, at least for tax purposes.
If you kept a flat in Paris after changing your tax residency, or a rental property in the regions, that asset will be included in the French taxable base, and your heirs will need to pay the corresponding taxes to the French tax authorities.
French inheritance tax is calculated based on the family relationship. Between parents and children, after an allowance of €100,000 per child, the progressive rate scale runs from 5% to 45%. Between non-relatives (unmarried partners, nephews, unrelated persons), rates can reach 60%.
This point is particularly important for expats who have kept real estate in France without selling it before leaving.
Life insurance and wealth transfer
A transmission tool outside the estate
Under French law, life insurance benefits paid to designated beneficiaries do not form part of the estate (provided that premiums were not manifestly excessive) — a particularly advantageous feature for wealth transfer.
For premiums paid before age 70, each beneficiary benefits from an allowance of €152,500, then a levy of 20% up to €700,000 and 31.25% above. For premiums paid after age 70, only the premiums (not the interest) are reintegrated into the estate, with a global allowance of €30,500.
The tax treatment of life insurance during expatriation is complex: the tax regime applicable to the beneficiary can differ depending on whether they are a French tax resident or not. The country of residence of the beneficiary may also claim to tax the sums received. Check with a specialist adviser or notary whether your French life insurance policy retains its advantages after you leave, and how non-resident beneficiaries are treated.
Practical advice for planning your estate as an expat
1. Write a will
This is the first step. A will allows you to exercise professio juris (choice of French law if you reside in the EU), clearly designate your beneficiaries, organise specific bequests, and appoint an executor.
A will can be authentic (drafted by a notary, registered in the French Central Register of Last Wills — FCDDV) or holographic (handwritten, dated and signed by you). The authentic will is more secure for complex international situations.
2. Consult a notary specialised in international law
Not all notaries are familiar with private international succession law. For a complex situation (multi-asset, multi-residence or multi-nationality), look for a notary with real experience in international law. The Chambre des Notaires de Paris and regional chambers can point you towards specialists.
3. Anticipate your heirs’ residence
Article 750 ter of the French tax code applies based on the heirs’ residence. If your children have been living in France for more than 6 of the last 10 years, yes: they will owe French inheritance tax on all worldwide assets they receive, not just those located in France. This factor is often overlooked in expat estate planning.
4. Document your assets in each country
Keep an up-to-date inventory of your assets: bank accounts, real estate, life insurance policies, company shares, securities. Note in which country each asset is located, and share this information with your notary and a trusted person.
For expats in Dubai, local succession rules (inspired by Islamic law for non-Muslim residents in certain circumstances) may apply to UAE assets if you have not registered a will under the rules of the competent jurisdictions. The situation has evolved to allow expats to subject their UAE assets to the law of their home country, but this requires formal documentation.
5. Review your planning regularly
A move to a new country, a marriage, a new child, a property purchase: each event can change the applicable law and the tax exposure of your estate. Estate planning for an expat is not a one-off act but an ongoing revision.
On the question of marriage abroad and its effects on the matrimonial regime and succession, you will find complementary information in our article on getting married abroad.
Frequently asked questions
Which law applies to my estate if I live outside the EU?
EU Regulation 650/2012 only applies within the EU. If you are resident in a country outside the EU (United Arab Emirates, Thailand, United States, Canada…), the applicable law is determined by the private international law rules of each state seized of the matter. In practice, this can lead to conflicts of laws. The safest approach is to draw up a will in each country where you hold significant assets, working with local notaries or their equivalents.
Will my children living in France have to pay French inheritance tax on my assets abroad?
It depends on how long they have been resident in France. If they have lived in France for more than 6 of the last 10 years, yes: they will owe French inheritance tax on all worldwide assets they receive, not just those located in France. This rule under article 750 ter of the French tax code is little-known and can cause unpleasant surprises.
Does a French life insurance policy remain tax-efficient for transferring assets to non-resident heirs?
In principle, the French life insurance tax regime (withholding at 20% then 31.25% with a €152,500 allowance per beneficiary for premiums paid before age 70) also applies to non-resident beneficiaries. But the situation can be complicated by the tax rules of the beneficiary’s country of residence, which may also claim to tax the sums received. Check with a specialist adviser according to the country concerned.
Can I disinherit my children if I live in a country without forced heirship?
Technically, if the applicable law is that of a country without forced heirship (such as the United Kingdom), full disinheritance is possible. But since 2021, children can request the application of the French forced share on assets located in France, even when a foreign law applies. Moreover, if you make a professio juris in favour of French law, the forced share applies to the entire succession.
International succession is an area where improvising after a death costs infinitely more than planning ahead. The rules are complex, the interactions between legal and tax systems numerous, and the stakes are often high. The good news: with a well-drafted will and a notary experienced in international law, most of the risks are avoidable.
The information in this guide is accurate as of Q3 2026 and reflects the state of applicable texts at that date. The law evolves, and every personal situation is unique. Consult a notary specialised in private international law to adapt this guidance to your specific case.
Find all our practical guides: living abroad.
Related articles:
- Selling property when moving abroad
- Changing tax residency
- Getting married abroad
- Moving to Portugal
- Moving to Dubai
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