2027 budget may change donation taxes

The 2027 budget may temporarily reduce the taxation of donations, but no final decisions have been made. Some people are considering postponing donations to benefit from potential tax reductions in 2027, but the adoption of these measures remains uncertain.

Existing tax exemptions for family gifts

Each parent can give up to 100,000 € to each of their children without paying donation taxes. Beyond that, the amounts are subject to a progressive scale of 5 to 45%. This exemption renews every 15 years and is not limited in time.

Additional exemptions for specific gifts

An exemption of 31,865 € is reserved for family gifts of money, also renewable every 15 years. Two conditions apply: the donor must be under 80 years old and the beneficiary must be an adult. This allows an adult child to receive up to 131,865 € from each parent, or 263,730 € in total, without taxes, provided these two benefits have not been used in the last 15 years.

Exemptions for helping with housing

A temporary mechanism allows giving up to 100,000 € additional to help a relative buy a new home or finance energy renovation work. This exemption applies to money gifts to descendants and, under certain conditions, to cousins. However, the gift must take place no later than December 31, 2026, and be used within 6 months.

Proposed changes in the 2027 budget

The 2027 budget bill, on the other hand, provides from January 1 to June 30, 2027, to increase the exemption for family money gifts from 31,865 to 50,000 €. These measures, which are not definitively voted, are likely to be modified or even abolished during parliamentary debates.

Advice for making donations

Before transmitting a large sum, however, consult your notary. A donation being irrevocable, make sure to keep enough resources for your future needs, especially in case of loss of autonomy. The notary will also help you anticipate the consequences on your inheritance.

Customary gifts and their tax status

At Christmas, also think about customary gifts. A sum or a good given at Christmas can constitute a customary gift. Your gesture then escapes the donation taxes and does not affect the exemptions. However, the gift must be linked to a particular occasion and its value must be proportional to your income and your assets.