Property inheritance in Albania follows specific tax rules and legal procedures that apply to both Albanian citizens and foreign heirs. Understanding how inheritance tax is applied is crucial for anyone inheriting property or planning estate transfers in Albania.
Here’s what heirs and property owners need to know.
Is There an Inheritance Tax in Albania?
Yes—Albania applies inheritance tax only in specific situations.
Under Albanian law:
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Inheritance tax is 0% for direct descendants and close family members (parents, children, spouse, siblings, grandparents, grandchildren).
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A 3% inheritance tax applies for other beneficiaries outside the immediate family, calculated on the declared value of the inherited property.
In most cases where property is passed to children or close relatives, no inheritance tax is due. However, taxes apply when the heir falls outside these family categories.
How Is Inheritance Tax Calculated?
When applicable, inheritance tax is calculated as:
Tax = 3% x declared value of the inherited property
The declared value is usually based on the property’s cadastral valuation or an official appraisal if required by authorities.
For example:
Inherited property value = €100,000
Inheritance tax = 3% x €100,000 = €3,000 tax due
Is Inheritance Tax the Only Cost?
No—the inheritance process also involves:
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Notarial fees for processing inheritance claims
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Administrative fees for property registration
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Document translation and legalization fees (for foreign-issued documents)
These costs are separate from the inheritance tax.
How Does the Inheritance Process Work?
To transfer inherited property in Albania, heirs must:
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Open an inheritance procedure with a licensed Albanian notary
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Submit required documents, including:
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Death certificate
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Family certificate
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Identity documents
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Will (if applicable)
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Obtain an inheritance certificate from the notary
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Register the inherited property with the State Cadaster Agency under the heir’s name
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Pay inheritance tax (if applicable) and administrative fees before registration is finalized
Foreign-issued documents must be translated into Albanian and legalized (apostille or consular authentication may be required).
Can Foreigners Inherit Property?
Yes—foreign nationals can legally inherit property in Albania. However, direct ownership of agricultural land remains restricted for individuals. Foreign heirs inheriting agricultural land must establish an Albanian-registered company to retain ownership, or transfer ownership to an eligible entity.
Apartments, urban land, and buildings can be inherited by foreigners without restrictions.
Albania’s inheritance tax system is relatively favorable for direct family heirs, with no tax imposed for immediate family members and a low 3% tax for others. The inheritance process requires notarization, registration, and compliance with legal procedures.