Capital gains on real estate held by a deceased non-resident: Pay attention to the recipient of the reassessment proposal
A couple residing in Belgium sold a property in France in 2015 and realized a capital gain. The husband subsequently passed away in 2017, andadministration determined that this capital gain was subject to social security contributions in France. The tax authorities then sent a reassessment proposal the wife in 2018.
In its ruling of April 2, the Paris Administrative Court of Appeal held that Article 204 of the General Tax Code—which provides for the possibility of sending the reassessment proposal one of the beneficiaries or one of the signatories of the tax return—does not apply to social security contributions on capital gains subject to Article 244 bis A.
The Court therefore finds that the reassessment proposal to "Mrs. C., widow of D." was not properly served on the taxpayer.
It therefore finds the procedure to be invalid and overturns the tax assessment of the capital gain.