{"id":2106493,"date":"2026-08-25T05:02:26","date_gmt":"2026-08-25T03:02:26","guid":{"rendered":"https:\/\/kohenavocats.fr\/2026\/08\/25\/french-inheritance-tax-bill-uk-heir-cannot-pay-property-sale\/"},"modified":"2026-08-25T05:22:03","modified_gmt":"2026-08-25T03:22:03","slug":"french-inheritance-tax-bill-uk-heir-cannot-pay-property-sale","status":"publish","type":"post","link":"https:\/\/kohenavocats.fr\/en\/2026\/08\/25\/french-inheritance-tax-bill-uk-heir-cannot-pay-property-sale\/","title":{"rendered":"French Inheritance Tax Bill: What Can a UK Heir Do If They Cannot Pay Before the Property Sale?"},"content":{"rendered":"

Inheriting a house or flat in France can create a difficult timing problem for a British beneficiary. French inheritance tax, known as droits de succession<\/em>, may be payable before the estate has produced any cash. A property can be occupied, co-owned, difficult to value, tied up in a dispute or simply impossible to sell within the deadline. Brexit does not remove the French filing and payment rules, and living in the United Kingdom does not automatically extend them.<\/p>\n

This guide focuses on the practical legal question: what can a UK heir do when French inheritance tax falls due but the inherited property cannot yet be sold? It explains the d\u00e9claration de succession<\/em> (the formal French succession declaration), the role of the notaire<\/em> (French notary), the difference between fractionated payment and deferred payment, the evidence needed for a request, the consequences of delay and the possible interaction with UK Inheritance Tax. The property purchase process is outside this article. The issue here is estate administration, tax liquidity and protecting the heir before a sale becomes possible.<\/p>\n

I. How long do you have to pay French inheritance tax when a UK heir receives a property?<\/h2>\n

A. What is the six- or twelve-month French succession deadline?<\/h3>\n

The starting point is the date of death, not the date on which the British heir receives sale proceeds. Under Article 641 of the French General Tax Code<\/a>, the declaration deadline is six months from the death when the deceased died in metropolitan France. It is one year in other cases covered by the article. The text states: De six mois, \u00e0 compter du jour du d\u00e9c\u00e8s<\/q>. A beneficiary who lives in England, Scotland, Wales or Northern Ireland does not obtain an additional period merely because the estate is cross-border. The French tax administration\u2019s current guidance also directs non-resident estates to the appropriate forms and service, so the family should not treat the deadline as a matter to be settled only after the property sale.<\/p>\n

The administration\u2019s practical guidance confirms that the declaration route depends on the place of death and the status of the estate. The official page on when and where to declare<\/a> identifies the French succession forms, including forms 2705, 2705-S and 2706, and explains the six-month and twelve-month periods. For a non-resident file, the official payment-service guidance<\/a> identifies the Recette des non-r\u00e9sidents at Noisy-le-Grand. That information should be checked at the outset, particularly where the British executor is corresponding from the UK and the French property is the only significant asset.<\/p>\n

The deadline concerns the declaration, but it is also a payment deadline in the ordinary case. Article 1701 of the General Tax Code<\/a> provides that death-transfer duties are paid before registration and states: Nul ne peut en att\u00e9nuer ni diff\u00e9rer le paiement<\/q>, subject to the statutory exceptions. In practical terms, a declaration sent to the notary with a note saying that the house will be sold later is not, by itself, a lawful payment arrangement. The estate needs either enough cash to pay, an accepted facility for fractionated or deferred payment, or a properly documented challenge to the amount claimed.<\/p>\n

The word \u201cpayment\u201d also needs care. The French administration may expect the declaration and payment to be dealt with together, yet the figures can remain provisional where valuation, debts, ownership or the identity of beneficiaries is still being documented. That does not mean that an heir can leave the entire file open until the eventual completion of a sale. The notary should identify the assets, liabilities, ownership structure and tax calculation early enough to make a decision before the six- or twelve-month date.<\/p>\n

The fact that a UK heir has not received the keys or the sale price does not normally prevent the succession from being opened. Article 724 of the French Civil Code<\/a> states that heirs designated by law are seized by operation of law of the deceased\u2019s property, rights and actions. The provision uses the words Les h\u00e9ritiers d\u00e9sign\u00e9s par la loi sont saisis de plein droit<\/q>. That legal transmission is separate from the later practical steps: preparing the declaration, obtaining a certificate, dealing with the land registry, securing the property and selling or distributing it.<\/p>\n

A non-resident heir may also need a tax certificate before a French bank releases estate funds. The official guidance on a certificate of non-exigibility or payment<\/a> explains that the bank may require the succession declaration and proof that any tax due has been paid. This is a practical reason to keep the payment question moving even where the main property cannot yet be sold: a smaller cash balance may be needed to unlock the estate\u2019s other assets.<\/p>\n

For a British family, the date analysis should be written down rather than left to assumptions. Record the date of death, the place of death, the deceased\u2019s last tax residence, the location of each French asset, the date on which the notary received the documents and the date on which the declaration is expected to be filed. A death in France and a death in the United Kingdom can lead to different statutory periods. A late exchange of documents between the UK executor, the French notary and the beneficiaries can consume the available time without changing the legal deadline.<\/p>\n

There is a second reason to file carefully. Article 1709 of the General Tax Code<\/a> provides that succession duties are paid by the heirs, legatees or beneficiaries and that co-heirs are, subject to the statutory rules, jointly liable. A British heir who assumes that another beneficiary will deal with the French tax can discover later that the administration is pursuing the liability against several people. The family agreement about who will transfer money to the notary does not necessarily change the administration\u2019s rights.<\/p>\n

That joint liability is particularly important where the French property is inherited by several people. One beneficiary may live in Britain, another in France and a third may occupy the property. Their personal arrangements can be different, but the declaration must present a coherent account of the estate. If one co-heir refuses to provide valuation evidence, bank statements or identity documents, the others should not wait silently. The obstruction and the steps taken to overcome it should be recorded, and the notary should be asked what can be filed before the complete package is available.<\/p>\n

A UK heir should therefore ask for a written deadline calculation from the notary. The request should specify which date has been used, which statutory rule is being applied and what must be paid or secured before filing. It should also ask whether the administration will accept a payment facility, what guarantee it requires and whether interest will accrue. This creates an auditable record and prevents a later dispute from being reduced to an informal telephone conversation.<\/p>\n

B. Why does an inherited French property create a cash-flow problem?<\/h3>\n

French inheritance tax is calculated by reference to the taxable succession, not by waiting for each asset to be converted into cash. A house may have a substantial market value while producing no immediate funds. A UK heir may also face an estate agent\u2019s timetable, a title problem, a planning question, an occupied property, a disagreement between co-owners or a lender\u2019s consent. Those are real liquidity obstacles, but they do not automatically suspend the French tax deadline.<\/p>\n

The distinction between value and liquidity should appear in the file. The declaration needs a defensible valuation at the relevant date. The sale strategy needs a different set of evidence: photographs, marketing instructions, comparable properties, offers received, a survey, correspondence about title or occupation and a realistic completion timetable. A property that cannot be sold quickly is not necessarily worth less for inheritance-tax purposes. Conversely, a high paper valuation is not proof that the heir can borrow the amount needed to pay the tax.<\/p>\n

Consider a simple example. A British brother and sister inherit a French house in equal shares. The house is valued at \u20ac420,000, the calculated French duties are \u20ac62,000 and the estate contains only \u20ac8,000 in bank funds. The brother lives in Bristol and cannot obtain a mortgage secured over a French undivided share. The sister is still living in the house and will not consent to an immediate sale. The estate has a tax problem even though it has a valuable asset. The correct response is to identify a lawful payment route, not to describe the situation as a complete exemption.<\/p>\n

\u201cUndivided ownership\u201d, or indivision<\/em>, is the common French structure in that example. Each heir owns a share, but the property is not automatically divided into separate physical rooms or saleable units. The notary must address the rights of the co-heirs and any agreement about occupation, expenses and sale. A British heir should not assume that an English executor can sign a French property sale alone, or that a majority vote will always be enough.<\/p>\n

Article 815-5-1 of the French Civil Code<\/a> can be relevant where holders of at least two-thirds of the rights seek authorisation to sell undivided property, but it is not a universal shortcut. The statutory procedure has formal steps and exclusions, including situations involving a split ownership structure. It may require court involvement and does not guarantee that a sale will complete before tax falls due. It should be treated as a possible route for resolving a blocked indivision, not as a reason to stop discussing payment with the tax administration.<\/p>\n

The position becomes more technical where the surviving spouse has an usufruct and the children receive bare ownership. Usufruit<\/em> is the right to use the property or receive its fruits; nue-propri\u00e9t\u00e9<\/em> is bare ownership, meaning ownership subject to that usufruct. The tax regime for a bare owner can permit deferred payment in circumstances that are not available to an heir who receives full ownership immediately. A British beneficiary should have the notary describe the ownership split in plain English before selecting a payment option.<\/p>\n

The Supreme Court decision of 13 March 2024, Commercial Chamber, no. 22-16.190, is a useful warning. In that decision<\/a>, the Court considered an option connected with deferred payment for property received in bare ownership and held that it implique un choix irr\u00e9vocable du contribuable<\/q>. The point is not that every payment request is irrevocable. The point is that a choice between a calculation based on bare ownership with interest and a calculation based on full ownership without interest can have lasting consequences. The request should be compared financially before it is signed.<\/p>\n

A property sale can also be delayed by the estate itself. A British will may need to be interpreted alongside French succession rules, a marriage contract may have to be located, an heir may need to prove a change of name, or a foreign grant of probate may need a certified translation. Those matters can be central to the notary\u2019s ability to establish the beneficiaries, but they do not all create an automatic extension. Ask for a list that separates documents required to establish entitlement from documents required to support the valuation and from documents required to support a payment facility.<\/p>\n

Keep evidence of the attempted sale separate from evidence of a tax challenge. If the property has not attracted buyers, the estate needs market evidence. If the administration has overstated its value, the estate needs valuation evidence and a reasoned objection. If a co-heir is preventing a sale, the estate needs correspondence and, if necessary, advice on indivision. Mixing all three issues into a single emotional letter makes it harder to show what remedy is being requested.<\/p>\n

Finally, the tax file should state who has access to cash and who does not. A UK heir who can pay temporarily from savings may preserve the deadline but then need to claim contribution from the other co-heirs. Another heir may need a loan secured against a different asset. The costs, interest and repayment arrangements should be documented. A private family promise is not a substitute for a request accepted by the French administration, and a loan secured in the United Kingdom does not change the French calculation.<\/p>\n

II. How can a UK heir delay or challenge the French inheritance tax bill?<\/h2>\n

A. Can you request instalments or deferred payment before the sale?<\/h3>\n

French law does contain routes for payment over time, but they are regulated facilities rather than an entitlement to wait for a sale. Article 1717 of the General Tax Code<\/a> states that, by derogation from Article 1701, payment of registration duties and land-publicity tax can be fractionated or deferred under rules fixed by decree. The official wording states: peut \u00eatre fractionn\u00e9 ou diff\u00e9r\u00e9 selon des modalit\u00e9s fix\u00e9es par d\u00e9cret<\/q>. The practical question is which regulated category matches the estate.<\/p>\n

The implementing rules matter. Article 396 of Annex III to the General Tax Code<\/a> identifies the fractionated-payment credit for death transfers. The same regulatory section sets the ordinary schedule: the first payment is made when the declaration is filed, the final payment is normally due no later than one year after the declaration deadline, and the ordinary arrangement is limited to three payments. Where at least half of the taxable estate consists of illiquid assets such as real property, the longer period and higher number of payments may be available under the conditions set by the regulations. Article 397 of Annex III<\/a> addresses specific deferred-payment situations, including certain bare-ownership and family-business structures. These are legal categories to test against the facts, not a general right to defer because a buyer has not yet been found.<\/p>\n

The interest and first-payment mechanics also need to be priced. The regulatory provisions on Articles 401 and 402 of Annex III<\/a> address the interest attached to fractionated or deferred credit and the point at which the first payment is made. Service Public\u2019s current explanation of succession-duty payment<\/a> summarises the practical limits: normally up to one year and three instalments, or up to three years and seven instalments where the estate contains at least 50 per cent illiquid assets. It also states that the request should be made with the declaration, that the heirs\u2019 agreement and guarantees matter, and that the administration has response periods. The notary should quote the schedule actually proposed for this estate rather than relying on a general description.<\/p>\n

Paiement fractionn\u00e9<\/em>, or fractionated payment, spreads the amount across agreed instalments. Paiement diff\u00e9r\u00e9<\/em>, or deferred payment, postpones payment until a defined event or date. They are not interchangeable. A request based only on the fact that the beneficiaries would prefer to sell later can be refused if the estate does not fit the relevant category. The notary should identify the exact legal basis and the applicable decree or administrative guidance in the request.<\/p>\n

The French tax administration\u2019s guidance explains the mechanisms and the need for guarantees. The BOFiP guidance on deferred and fractionated payment<\/a> records that some successors may request either facility if they provide the necessary guarantees and maintain solidarity between them. The BOFiP guidance on fractionated payment<\/a> also emphasises that the schedule begins from the effective filing of the declaration. That is why a complete, timely declaration and a simultaneous payment request are safer than an informal request made months after the deadline.<\/p>\n

For an ordinary inherited house received in full ownership, fractionated payment may be the more natural question, subject to the conditions in force and the administration\u2019s acceptance. The arrangement can involve interest and a guarantee. The number of instalments and the maximum period depend on the statutory category and the composition of the estate. A UK heir should ask for the schedule in writing: initial amount, instalment dates, interest rate, guarantee, consequences of a missed instalment and the date on which the facility ends.<\/p>\n

Deferred payment is more fact-sensitive. It is associated with situations such as bare ownership, where the usufruct is expected to end, and certain special assets or operations identified by the regulations. In the bare-ownership case, the point is that the economic enjoyment and the full ownership may arise at different moments. A person who inherits an immediately saleable full-ownership house should not cite the bare-ownership rules without checking the legal structure.<\/p>\n

The 2024 Supreme Court decision mentioned above illustrates the danger of selecting the wrong option. The Court stated that the two alternatives for deferred payment were an option for the payment of tax and that the taxpayer\u2019s choice was irrevocable. The decision does not remove the need for a guarantee or prove that a request will be granted. It does show why the calculation should be modelled in two columns before filing: the amount of duty, the value used, annual interest, expected date of sale and the total cost under each option.<\/p>\n

The request should usually be prepared with the notary and addressed through the channel specified by the tax administration. It should contain, in an organised bundle:<\/p>\n