“International bank transfer of the inheritance share for heirs living abroad: rules and procedures in Germany”
International bank transfer of the inheritance share for heirs living abroad
How do you receive your share of the estate if you live outside Germany?
In today’s interconnected world, it is no longer uncommon for a person to pass away in Germany and leave behind an estate consisting of cash assets or real estate, while one or more of the heirs live in a country outside the European Union. This raises several key questions:
Is a non-resident heir entitled to receive their full share? Are international bank transfers allowed? And what requirements or restrictions do German banks and legal authorities impose?
Yes. Any heir, regardless of whether they live in Germany or abroad, is fundamentally entitled to receive their full share of the estate, provided their name appears in the certificate of inheritance (Erbschein) or in a valid will/contract of inheritance.
German law does not require the heir to be resident in Germany in order to receive an inheritance. However, it does require:
proof of identity, and
valid proof of heir status (e.g. Erbschein, notarised will).
After the estate has been settled and the funds have been transferred to a dedicated estate account (Nachlasskonto), the person responsible for administering the estate – whether a court-appointed administrator, an executor, or an authorised co-heir – can initiate an international bank transfer as follows:
Basic steps:
Opening an estate account (Nachlasskonto)
– An account in the name of the estate, the community of heirs, or the executor.
Preparing a list of entitlements (Erbanteile)
– A clear breakdown showing which heir is entitled to which percentage or amount.
Collecting the bank details of the heir living abroad:
International account number (IBAN, where available in the receiving country)
SWIFT/BIC code
Name and full address of the bank
Copy of the heir’s passport or valid identity document
Submitting an international transfer order to the German bank
– Including all recipient details and, if necessary, the currency in which the transfer shall be made.
Documenting the purpose of the transfer
– For example:
“Erbschaftsanteil für Herrn X gemäß Erbschein vom …”
(“Inheritance share for Mr X in accordance with the certificate of inheritance dated …”)
This helps ensure transparency for the bank, tax authorities, and possibly foreign authorities.
If the inheritance share is calculated and allocated in Germany first, the inheritance tax (Erbschaftsteuer) – if applicable – is typically assessed and deducted in Germany from the estate or the individual share before the money is transferred.
The heir usually does not face additional deductions by the German bank during the transfer, unless:
the receiving country is subject to strict currency control or capital movement restrictions, or
the receiving country levies its own taxes on funds coming from abroad (as is the case in some countries, including a number of Arab states).
It is therefore advisable that the heir consult a tax or financial advisor in their country of residence to clarify local tax rules regarding foreign inheritance income.
As a rule, there are no general legal prohibitions in Germany on transferring inheritance funds abroad. However, various due diligence and reporting obligations apply, in particular in the following cases:
| Situation | Required action |
|---|---|
| Transfer to a high-risk country (e.g. Syria, Iran) | Detailed proof of the origin of the funds, official inheritance documents, sometimes notification to the Deutsche Bundesbank |
| Transfer of a large amount (more than EUR 12,500) | The transaction must be reported in accordance with § 67 Außenwirtschaftsverordnung (AWV) |
| Transfer to an account not in the heir’s name | Usually rejected for legal and banking compliance reasons |
Banks are obliged to comply with anti-money-laundering and sanctions regulations, and may therefore request additional documentation or explanations.
Provide a valid receiving bank account
Make sure you have an account with a reputable bank in your country that can receive international transfers.
Use an account in the heir’s own name
The account should be in the heir’s name, not in the name of a relative or friend. Transfers to third-party accounts are often rejected or lead to further scrutiny.
Keep all documents safely
Copies of the certificate of inheritance, the will, estate settlement statements, bank confirmations, and account statements should be carefully stored.
Joint instructions where there are multiple heirs
If several heirs are involved, it can be useful for all of them to sign a written instruction to the bank or executor specifying which amounts are to be transferred to which heirs.
Seek legal advice where sanctions apply
If an heir lives in a country subject to international sanctions, specialised legal advice is essential to avoid violations of sanctions or foreign exchange regulations.
German law does not prevent heirs who live abroad from receiving their share of the estate – on the contrary, their entitlement is fully protected, provided that heir status is properly proven.
However, the international bank transfer of an inheritance share requires careful organisation, close coordination with the bank, and an understanding of transfer and tax rules in the receiving country.
If these aspects are handled properly, an inheritance can be transferred across borders in a legally secure, transparent, and timely manner.
The editorial and author team of this website strives to provide accurate information based on thorough research and consulting multiple sources. Nevertheless, errors may occur or some details may not be fully verified. Please therefore treat the information in this article as an initial point of reference and always consult the competent authorities or professional advisors for binding, official information.
