Inheritance tax is levied on account of an inheritance received under inheritance law. Till the year 2010 this tax was called the right of succession. Gift tax is levied on account of an acquisition by gift (or gift); until January 1, 2010 this levy was called the right of donation.
The residence principle applies to the levying of inheritance tax and gift tax. This residence principle ties in with the place of residence of the testator or donor. Hence inheritance tax and gift tax is only levied if the person from whom it was acquired lived or was deemed to live in the Netherlands at the time of acquisition.
If the testator or donor resides at the time of death or donation in the Netherlands, the acquirers are liable to pay tax on what they obtain under inheritance or donation. The domicile of the transferee is not important for this. Nor is it important where the goods obtained are located. Therefore, if the testator or donor lived in the Netherlands at the time of death or the gift, this would imply unlimited tax liability for the transferee, regardless of the place of residence of the transferee.
In addition, the right of transfer was abolished per January 1st 2010. This levy took place when so-called Dutch situs goods were obtained from a non-resident donor or testator. Dutch situs goods are goods (such as Dutch real estate) that, from a Dutch point of view, have such a connection with our country, that the Netherlands also considered itself competent to levy taxes on this if the testator or the donor lived abroad at the time of his death or the donation.
