INHERITANCE ESTATES WILLS
When a person dies, his or her assets will be passed on. The Danish Inheritance Act lays down rules stipulating how to divide the estate left by you, and what provisions you can make for your heirs. It’s a good idea to devote some thought to who is going to inherit you.
That way, you will avoid any disputes between your heirs, or the government inheriting your assets if you are not succeeded by legal heirs. Inheritance tax (death duty) is a tax to the government and is payable from the inheritance left by you. The size of such inheritance tax, and whether inheritance tax even has to be paid, depends on who will inherit from you.
It’s vital to draw up a will if you wish to have any influence over how your inheritance is to be divided. One quarter of your assets makes up what is known as the legitimate or reserved portion, to which your issue (heirs of the body) and spouse are entitled. The remaining three quarters of your assets is called the disposable or unconditional inheritance, which you can do with as you please.
If you are not succeeded by issue or a spouse, you can dispose of your entire assets. That is to say that unmarried cohabitees do not inherit from one another. If you wish to draw up a will, it is important to have given some consideration to the various consequences the wishes set out in your will are going to have.
ENDURING POWER OF ATTORNEY
You have the option of appointing a person to attend to your financial and/or personal affairs if at some point in the future you yourself are no longer capable of doing so owing to illness, impaired mental faculties or similar issues.
An enduring power of attorney allows you to take advance control of who will be your representative if it becomes necessary. The enduring power of attorney remains inactive until put into effect.
When considering a generational handover, it is important to take account of all legal and fiscal aspects. In addition, it is important to include matters of family and succession law as well as the possibility of marriage settlements and wills.
We can help create the right all-round solution in conjunction with your handover.