Blog: Advice on managing your assets in European Union after Brexit – Harrow Times

There are few immediate implications for individuals as a result of Brexit, but those with homes in an EU country will need to be aware of several key points.

The EU succession regulation

The EU succession regulation affected UK citizens with second homes in EU member states, or those habitually resident in an EU country. This remains the case. UK nationals resident in the UK can still elect for English law to apply to the succession of their home in the EU.

Wills

Whilst one will can cover your worldwide estate there can be advantages to making multiple wills if you have assets abroad, such as hastening the estate administration process.

A single will may need to be translated and notarised in the foreign jurisdiction.

However, in countries such as Spain, where a will must usually be witnessed by a notary, it may be advisable to make a single will to cover the worldwide estate, if accessing a notary causes practical problems.

Take specialist advice and ensure that your English lawyer works with a lawyer in the other country so that the will takes effect as desired.

Tax advice

Your estate’s exposure to UK inheritance tax is determined by your domicile, which is broadly where your permanent home is considered to be. If you are domiciled in the UK, then UK inheritance tax will apply to your worldwide estate.

If you are not UK-domiciled on death, only your UK assets will be liable for UK inheritance tax. You can live abroad for many years and still retain a UK domicile of origin. Take advice when estate planning to work out where tax will be payable.

Inheritance tax allowances

For the time being, inheritance tax exemptions for gifts to EU charities, and reliefs in relation to EU business property/assets and agricultural property are still available as legislation has not yet changed.

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