# inheritance tax on foreign joint assets



## skip o (Aug 1, 2011)

I think I have read every thread on inheritance taxes, but I have not seen an answer to this question. 

My wife and I are Americans with no kids. If we are tax residents of Spain and I die, will my wife have to pay any taxes on our foreign (non-Spanish) joint assets? We jointly own bank accounts and properties together in the United States.


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## skip o (Aug 1, 2011)

The statements about inheritance seem to be like this.. "Residents are taxed on their worldwide assets and non-residents are only taxed on the assets and/or rights located in Spain."

But I don't see anything specific about joint assets.


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## snikpoh (Nov 19, 2007)

The first thing that happens in Spain is that joint bank accounts are frozen! This can cause major problems - an understatement! Best to keep some money in separate accounts.

Any joint assets held anywhere and then inherited will be taxed. So, for example, if you have a (joint) bank account in USA with, say, $100k if you were to die and leave it all to your wife, she would have to pay succession tax on the $50k she inherits.

It's certainly a minefield so it's always best to take legal advice as it also depends where in Spain you are resident.


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## zenkarma (Feb 15, 2013)

skip o said:


> If we are tax residents of Spain and I die, will my wife have to pay any taxes on our foreign (non-Spanish) joint assets?


Yes she will.

I'd strongly advise taking specialist advice from both an American tax accountant and a Spanish tax accountant with regards to ways you may be able to minimise your tax liability.

I have no idea if Spain and America have a reciprocal agreement with regards to inheritance tax so you may end up having to pay twice, once in America and again in Spain.

If you are a tax resident in Spain, you have to pay Spanish taxes on your worldwide income - inheritance included.


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