Estate Settlement in Spain

How can Inheritance Rights be Proven in Spain?

So as to be able to prove their inheritance rights, beneficiaries generally require a corresponding official document. For the Spanish Land Registry to register the successor of the deceased in the property register, for instance, it is necessary that inheritance rights be confirmed by the so-called inheritance title. Among such titles are

• a Spanish inheritance contract
• a Spanish will
• in cases of intestate succession: a notarised document determining the legal heirs
• an administrative certificate of the legal heirs
• the European Certificate of Succession

A notarised will drafted in the presence of a German notary or a registered handwritten testament will also generally be recognised as valid titles. German courts may also issue a German certificate of inheritance or a declaratory statement confirming the heir’s status. Spanish banks require evidence similar to that demanded by the land registries but may make exceptions in individual cases.

Which Country is Authorised to Determine Inheritance Rights?

The jurisdiction for determining inheritance rights is governed by the European Inheritance Regulation. If the deceased person’s habitual residence was in Spain, Spanish notaries are authorised to conduct estate settlement. The habitual residence of the deceased is determined by the centre of their social life.

The Notarial Acceptance of Inheritance in Spain

Under the provisions of Spanish land law, for real estate to be registered in the Spanish Land Registry and for an heir to be recorded as its owner, either a public deed or a corresponding legally binding judgment specifying which heir shall receive which portion of the inheritance will be necessary. This initially presupposes a notarial acceptance of inheritance. If there are multiple heirs, a partition of the estate with the assignment of ownership is also necessary.

Banks

Spanish banks typically also require a notarial acceptance of inheritance. However, in certain cases, a bank may accept an inventory and proof of tax payment instead.

Jurisdiction and Representation

Any notary in Spain is authorised to conduct the acceptance of inheritance. The acceptance can also be notarised in Berlin by the consul at the Spanish embassy. A notarial acceptance of inheritance in the presence of a Spanish notary can also be carried out by the beneficiary’s representative (e.g., a lawyer) with a notarised power of attorney, which must provide a full list of the authorisations.

What Documents are Needed for Acceptance of Inheritance in Spain?

• Proof of Inheritance
• Death Certificate
• Certificate of Testamentary Dispositions
• Certificate of Life Insurance
• Bank Certificate of Existing Balances
• Notarial Purchase Agreement for Real Estate in Spain
• Proof of Cadastral Value
• Current Land Registry Statement
• Spanish Tax Identification Number for Foreigners or Spanish nationals

Do Documents Need to Be Translated into Spanish?

Yes, all documents not provided in the Spanish language must be submitted with a translation by a sworn translator. This serves to ensure that the documents will be recognised by Spanish authorities. Furthermore, certain foreign documents that are not recognised under the European Succession Regulation or international law may require an apostille or legalisation.

Equalisation of Accrued Gains and Dissolution of Marital Property

In the event that the deceased is survived by a spouse, during the process of the division of the estate and acceptance of inheritance, it is advisable to calculate the accrued gains claim, or to dissolve the marital property in the case of a community of acquisitions or community of property. The equalisation of accrued gains should also be carried out during the division of the estate and acceptance of inheritance, as these gains are not subject to inheritance tax. Thus, high tax dues can be avoided.

Att. Prof.* Dr. Stephan J. Lang