French Gift Tax Rules For Donations Manuelles

Not all gifts are created equal under French law. In this episode, we explain how informal or manual gifts—called donations manuelles—are treated for French gift tax purposes and why disclosure matters.

🔎 What You’ll Learn in This Episode:

1️⃣ What Are Donations Manuelles?

Donations manuelles are informal gifts made without a notarial deed, such as:

• Cash gifts handed directly to a beneficiary

• Personal property transferred without formal documentation

2️⃣ When Are They Taxable?

Unlike notarised gifts, these manual gifts become taxable only when they are disclosed to the French tax authorities. Disclosure can occur via:

• Declaration in a registered document

• Formal recognition by a court

3️⃣ How Is Tax Calculated?

The gift tax is generally based on the market value of the asset at the time of disclosure, not at the time of transfer.

This ensures fair taxation while allowing some flexibility for informal gifting—though delays in declaration can carry risks.

4️⃣ Legal Basis

Rules are set under Article 757 of the Code général des impôts and reinforced through administrative guidance.

5️⃣ Practical Takeaway

Even informal gifts must be properly disclosed to avoid penalties. Planning ahead and understanding disclosure requirements is key for anyone giving or receiving manual gifts in France.

This episode helps listeners navigate one of France’s more nuanced gift-tax rules, balancing flexibility with compliance.