{"id":425,"date":"2016-12-12T12:09:21","date_gmt":"2016-12-12T11:09:21","guid":{"rendered":"https:\/\/vwg.nl\/uncategorized\/ik-opa-schuld-aflossen\/"},"modified":"2026-03-03T10:32:51","modified_gmt":"2026-03-03T09:32:51","slug":"im-paying-off-grandads-debt","status":"publish","type":"post","link":"https:\/\/vwg.nl\/en\/ik-opa-schuld-aflossen\/","title":{"rendered":"Paying off my grandad\u2019s debt"},"content":{"rendered":"

\"Grandad\u2019s<\/p>\n

Many wills include an \u2018I, the grandfather\u2019 clause (it can, of course, also be an \u2018I, the grandmother\u2019 clause). The purpose of this clause is to make use of the tax exemption for grandchildren.<\/p>\n

Grandad<\/h4>\n

The way an \u2018I-grandfather\u2019 clause works is best explained using a simple example. Suppose Grandfather dies and leaves behind: 1 child and 2 grandchildren. The value of Grandad\u2019s estate is \u20ac500,000. Without an \u2018I-Grandad\u2019 clause, the child is the sole beneficiary of this estate. Based on the exemptions and rates for 2016, the inheritance tax due is calculated as follows:<\/p>\n\n\n\n\n\n\n\n\n\n
Child\u2019s inheritance<\/td>\n\u20ac 500.000<\/td>\n<\/tr>\n
Re: exemption<\/td>\n\u20ac 20.148<\/span><\/td>\n<\/tr>\n
Taxable gain<\/td>\n\u20ac 479.852<\/td>\n<\/tr>\n
Calculation of inheritance tax:<\/td>\n<\/td>\n<\/tr>\n
10% * \u20ac 121.903 =<\/td>\n\u20ac 12.190<\/td>\n<\/tr>\n
20% * \u20ac 357.949 =<\/td>\n\u20ac 71.590<\/span><\/td>\n<\/tr>\n
Total inheritance tax<\/td>\n\u20ac 83.780<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

However, if the will imposes an obligation on the child to pay \u20ac50,000 to each of his children (the two grandchildren) after his death (an \u2018I-am-grandfather\u2019 clause), the calculation works out as follows:<\/p>\n\n\n\n\n\n\n\n\n\n
Child\u2019s inheritance<\/td>\n\u20ac 400.000<\/td>\n<\/tr>\n
Re: exemption<\/td>\n\u20ac 20.148<\/span><\/td>\n<\/tr>\n
Taxable gain<\/td>\n\u20ac 379.852<\/td>\n<\/tr>\n
Calculation of inheritance tax:<\/td>\n<\/td>\n<\/tr>\n
10% * \u20ac 121.903 =<\/td>\n\u20ac 12.190<\/td>\n<\/tr>\n
20% * \u20ac 257.949 =<\/td>\n\u20ac 51.590<\/span><\/td>\n<\/tr>\n
Total inheritance tax<\/td>\n\u20ac 63.780<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

However, the grandchildren are, of course, liable for inheritance tax on their acquisition. When calculating this, for the sake of simplicity in this example, we will disregard any (notional) usufruct held by the parent.<\/p>\n\n\n\n\n\n\n
Acquisition of a grandchild<\/td>\n\u20ac 50.000<\/td>\n<\/tr>\n
Re: exemption<\/td>\n\u20ac 20.148<\/span><\/td>\n<\/tr>\n
Taxable gain<\/td>\n\u20ac 29.852<\/td>\n<\/tr>\n
Inheritance tax (18%)<\/td>\n\u20ac 5.373<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

In total, the inheritance tax due on Grandad\u2019s estate is:<\/p>\n\n\n\n\n\n\n
By the child<\/td>\n\u20ac 63.780<\/td>\n<\/tr>\n
By grandchild 1<\/td>\n\u20ac 5.373<\/td>\n<\/tr>\n
By grandchild 2<\/td>\n\u20ac 5.373<\/span><\/td>\n<\/tr>\n
Total<\/td>\n\u20ac 74.526<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

That is considerably less than it would be without the \u2018I-grandfather\u2019 clause (\u20ac83,780). The main reason for this is that the \u2018I-grandfather\u2019 clause makes use of the exemption for grandchildren.<\/p>\n

\u2018I-Grandad\u2019 acquisition taxed twice<\/h4>\n

An \u2018I-grandfather\u2019 clause means that, following the grandfather\u2019s death, the grandchild acquires a claim against the child (the grandchild\u2019s parent). This is a conditional claim. Only upon the child\u2019s death will the grandchild receive the amount of the claim.<\/p>\n

As the child (the grandchild\u2019s parent) has retained the usufruct of the claim, inheritance tax is payable by the grandchildren upon the child\u2019s death. The law provides for a notional acquisition in this regard.<\/p>\n

This levy is perceived as double taxation of the acquisition under the \u2018I-grandfather\u2019 clause. Technically, this is not the case, as this usufruct was also taken into account when calculating the inheritance tax upon the grandfather\u2019s death. As indicated, for the sake of simplicity, we have not included this in the calculation example.<\/p>\n

Box 3<\/h4>\n

The contingent liability, or claim, arising from an \u2018I-grandfather\u2019 clause must be included in income from savings and investments (Box 3). The child must declare the value of the contingent liability to the grandchild in Box 3.<\/p>\n

In the case of a grandchild, the contingent claim forms part of the investment base for Box 3. As long as the grandchild is a minor, the investment base for Box 3 is attributed to the parent.<\/p>\n

The effect of this adjustment depends on the child\u2019s and grandchild\u2019s other assets subject to tax under Box 3.<\/p>\n

Early repayment<\/h4>\n

However, a parent is, of course, free to repay the conditional debt to their child or children under an \u2018I-grandparent\u2019 clause voluntarily at an earlier date. In this way, even when the gift tax exemptions have been exhausted, the parent can transfer funds to the children without incurring tax. Furthermore, early repayment prevents inheritance tax being levied upon the child\u2019s death (on the notional acquisition of the usufruct).<\/p>\n

Please note, however, that you are usually not permitted to repay the full nominal amount of the debt. If you do, the grandchild will receive more than they are legally entitled to. The excess amount will then be subject to gift tax.<\/p>","protected":false},"excerpt":{"rendered":"

In veel testamenten is een ik-opa-clausule verwerkt (het kan uiteraard ook een ik-oma-clausule zijn). Die clausule dient er voor om de vrijstelling van de kleinkinderen te benutten. Ik-opa De werking van een ik-opa-clausule kan het best worden uitgelegd aan de hand van een simpel voorbeeld. Stel opa overlijdt en laat na: 1 kind en 2 […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-425","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"acf":[],"_links":{"self":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/posts\/425","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/comments?post=425"}],"version-history":[{"count":0,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/posts\/425\/revisions"}],"wp:attachment":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/media?parent=425"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/categories?post=425"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/tags?post=425"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}