Inheritance tax - from UK to Poland

Hi All,

I have a quick question about inheritance tax that I'm sure isn't too uncommon, but can't seem to find any answers on these forums (or generally online), so thought I'd start my own thread (apologies if it's been answered elsewhere).

So, my grandmother died a while ago. She lived in the UK and was British - I am also British, but now live in Poland. I stand to inherit some cash (I'm one of a few beneficiaries, based on her will).

As far as I am aware, UK inheritance law will apply, as will Polish inheritance law.

As far as I'm aware, the estate should not exceed the UK limits, which means there should be no tax to pay from a UK law perspective.

From a Polish perspective, it seems that, as I am classified in tax group I. And, as a direct descendant, it's possible that the inheritance could be exempt from tax. However, from what I've heard/read, one condition relates to notifying the tax office within a six month period. This is the part that I am struggling to find information about - essentially, when does that six month period start? Is it from the day a person dies; is it from the day and funds are transferred to the beneficiary; is it from the day any tax issues were sorted out in England; or is it something else?

Also, if there was no tax to pay in the UK, then would this even be applicable?

For this, you really do need a tax specialist. Remember that interpretation of tax regulations change and there are often subtle details that make a difference. This means that one person's experience may not relate exactly to yours.

The six months begins from the date that you are notified that you are named in the will. Notify the tax office as soon as possible even if you do not have the funds in your account or do not know the full amount. It may take some months before the funds are transferred into your account. However, I will check on when exactly the 6 months begin, but do it now.

Please read up about the double taxation agreements between UK & Poland. It seems likely that if the inheritance includes any property, the Polish law on selling properties and taxation may apply.

Thanks for the information, Terri. The inheritance does include a property; however, that property will be sold (through the executors). Any inheritance I receive will only be cash - as far as I'm aware, I won't technically be the (part) owner of the property. I'm not sure if that makes a difference, but from what I can see, it might.

Yes, it's a wise idea to get some solid advice in this area.


There won't be any issue here, because he will never formally own the property.

Thanks delphiandomine - I suspect you're correct, having never formally owned the property, I also think (hope) that won't be an issue. And I agree, getting professional advice is the best way to go. However, until I can do that, I'm just hoping to pick the brains of people on this forum, in case I can get any idea of what to expect (or not expect) - with that in mind, any knowledge/experience that people can share on the subject is greatly appreciated.

Please don't take my word as formal advice, but this is my understanding of it:

You have six months to declare it from the formal notification of inheritance. It's not when you become aware of the contents of the will, but when the executor gives you the formal notice that you will inherit something. At that moment, you should declare it - not before, as you haven't formally inherited anything at that point. The tax office is quite reasonable, and as long as the paperwork is in order (the formal notification of inheritance), they won't question anything.

The property question is a non-issue, as you will never have formal ownership of the property according to the (English?) law of succession.

Merged:

Inheritance from the UK to Poland.

Hi, I am a British citizen living in the UK.

If I were to leave £60k in my will to a second cousin who is Polish and lives in Poland, would he have to pay tax on his inheritance? If so, how much?

Thank you.