Present or gift?

As the festive season comes to an end, let us look again at the notions of a present on the one hand, and a gift (donation) on the other.

To pass on a flat or a house, a gift must be made by notarial deed, as required for registration with the land registry. There is then no doubt as to the nature of the deed: it is a gift.

On the other hand, objects, money or securities can be passed on "from hand to hand".

A distinction must then be made between the so-called "manual gift" (don manuel) and the present, also known as a "customary present" (présent d'usage).

A present is linked to a particular occasion: a birth, a birthday, a wedding, a celebration, etc. Its value must remain reasonable in relation to the wealth of the person giving it.

In all other cases, it is a gift: the manual gift.

A manual gift must be declared to the tax authorities but does not necessarily give rise to tax.
Allowances do exist, enabling you to give tax-free.

First of all, with no age requirement and for all types of assets (property, securities, sums of money...):
– Each parent may give up to 100,000 euros to each of their children;
– Each grandparent may give up to 31,865 euros to each of their grandchildren.

In addition, you may give a sum of money of up to 31,865 euros to your children or grandchildren free of any tax, provided they are adults and you are under 80.

Above these amounts, the person receiving the gift will have to pay a tax known as "gift tax" (droits de donation).