But tax experts see a way out: Spouses and children can inherit a property completely tax-free, even beyond the allowances. This is the case when it comes to the house in which the testator had his main residence until his death. This is the so-called “family home”.
In this case, the tax exemption is linked to further conditions, say the specialists: (1) The heirs must use the house as their main residence for at least ten years after the inheritance. And (2) they must move in “immediately” after the inheritance.
For children and grandchildren, only 200 square meters of living space are tax-free. Larger properties must be taxed proportionately if the allowances have been exhausted.
The home can also be inherited as a gift. If the self-used property goes to the spouse or registered partner, there is no gift tax and the ten-year retention period does not apply.