What is the difference between inheriting and a bank gift or hand gift?
Passing on wealth can happen through inheritance after death, or through a gift during life. These are the key differences in tax treatment and certainty.
There are two ways to pass on wealth to someone: let them inherit after death, or give something during your lifetime through a bank gift or hand gift. Both have tax consequences, and both call for some form of proof - but that proof looks very different in each case.
Inheriting: automatic, but only after death
With inheritance, wealth transfers only at the moment of death, according to the legal rules of succession or a will. Heirs pay inheritance tax on what they receive, at rates that rise with the amount and with the distance of the family relationship to the deceased. There is nothing for the heir to arrange beforehand: the inheritance happens automatically, and its proof is the death itself plus the probate process.
Gifting during life: bank gift or hand gift
A bank gift (money via transfer) or hand gift (movable property handed over directly) lets you give something now, rather than waiting for an inheritance. Neither requires a notary - unlike a gift of immovable property, which always requires a notarial deed. It is up to you whether to register the gift (gift tax now, no risk later) or not (no tax now, but a risk period).
The risk of a gift shortly before death
Anyone who makes an unregistered bank gift or hand gift and dies shortly after runs the risk that the gift still counts toward the estate - and is therefore taxed at inheritance tax rates instead of the generally lower gift tax rates. This “suspect period” is 5 years in all three Belgian regions as of 2026 for unregistered gifts. Read the details of that period and how to avoid it in our guide to registering a gift and gift tax.
Why proof matters in both cases
With an inheritance, the death itself is the unambiguous turning point: nobody needs to prove the inheritance “happened”. With a gift during life, it is different: without a dated document, it is difficult afterward to show exactly when a bank gift or hand gift took place, and whether it was a gift rather than, say, a loan. That proof is exactly what other heirs, the tax authorities, or - in a dispute - a court will need.
Veelgestelde vragen
Is gifting during life more tax-efficient than inheriting?
Often yes: gift tax on movable property is generally lower than inheritance tax, especially for larger amounts. But this depends on your specific situation; consult a notary or tax adviser for advice tailored to you.
What happens if the giver dies shortly after the gift?
For an unregistered bank gift or hand gift, if the giver dies within the suspect period, the gift still counts toward the estate and is taxed at inheritance tax rates.
Can I both inherit and gift during my life?
Yes, these are not mutually exclusive. Many people combine a gift during life with a will for the rest of their estate.
This page contains general information, not legal or tax advice. If in doubt, consult a notary or a legal or tax adviser.
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Already made a gift? Record it with a signed proof of gift.