A Parent Has Died in Brazil—How Do I Settle the Estate?
When a parent dies in Brazil, children living in Germany are often faced with a multitude of questions: Who is actually entitled to inherit? Should the estate be settled in Germany or in Brazil? How do you gain access to a Brazilian bank account? What happens to real estate in Brazil? And where is inheritance tax due?
The situation becomes particularly complicated when the deceased has left assets in both countries. In such cases, it is often necessary to distinguish between three issues:
the administration of estates in Germany,
the administration of estates in Brazil and
Inheritance taxation in Germany and Brazil.
These are different processes that, without careful coordination, can take many years to complete.
1. Which inheritance laws apply?
Before the estate can be settled, it must first be determined which law governs the succession.
From a German perspective, the European Succession Regulation generally stipulates that the entire estate is governed by the law of the country in which the decedent had his or her habitual residence at the time of death. If the father or mother had permanently moved the center of his or her life to Brazil, this would therefore generally result in Brazilian law applying. However, a valid choice of law in favor of the law of the deceased’s own nationality may have been made, for example, in a will.
Brazilian courts and authorities determine the applicable law of succession in accordance with Brazilian rules of private international law. Under Article 10 of Brazil’s Lei de Introdução às Normas do Direito Brasileiro (LINDB), succession is generally governed by the law of the state in which the decedent had his or her domicile (“domicílio”).
However, there is one important exception to this rule: If a foreign decedent leaves assets in Brazil and his or her surviving relatives include a Brazilian spouse or Brazilian children, they are entitled to special protection. For them, the law that is more favorable to them generally applies with respect to assets located in Brazil. Brazilian law therefore applies if it is more favorable to the Brazilian spouse or the Brazilian children than the decedent’s personal law. If, on the other hand, the decedent’s personal law is more favorable, that law remains applicable.
This can have a significant impact on inheritance shares, particularly in the case of German-Brazilian families. Therefore, it is not always sufficient to simply determine where the decedent last resided. The nationality of the decedent and his or her closest relatives, as well as the location of the individual assets in the estate, can also be decisive factors.
However, the practical administration of an estate must be distinguished from the question of which law of succession applies. Even if a specific national law governs the succession, this does not mean that all assets can be transferred through a single proceeding.
2. Estate Settlement in Germany
If a parent who died in Brazil left assets in Germany, the first step is to determine what assets are involved.
These may include, for example:
Bank accounts and savings,
Securities accounts,
Real estate,
Equity investments or
Other receivables.
Is a certificate of inheritance required in Germany?
Whether a German certificate of inheritance is required depends on the specific case.
If, for example, there is a notarized will or an inheritance agreement, it is sometimes possible in Germany to provide sufficient proof of inheritance even without a certificate of inheritance. However, particularly in cases of intestate succession or more complex international situations, banks and other institutions often require formal proof of heir status.
Even if the deceased was last living in Brazil, probate proceedings may be required in Germany.
If the decedent no longer had his or her habitual residence in Germany at the time of death, local jurisdiction is initially determined by his or her last habitual residence within Germany. If jurisdiction still cannot be established on that basis, the Schöneberg Local Court in Berlin generally has jurisdiction in cases involving German decedents or estates located in Germany; under certain conditions, this court may refer the matter to another probate court.
Particularly in the case of an estate that spans Germany and Brazil, it is therefore important to determine what proof of inheritance is actually required for the German assets.
What documents are required in Germany?
Depending on the situation, the following may be required in particular:
the Brazilian death certificate,
Birth and marriage certificates,
Wills or other testamentary dispositions,
Information about spouses and children,
Brazilian estate records, as well as
...each accompanied by a so-called Hague Apostille and a translation by a translator who is publicly appointed and sworn in Germany.
On behalf of our clients, we obtain the necessary documents directly on site and handle the entire process of obtaining a certificate of inheritance in Germany.
3. Estate Settlement in Brazil
If there are assets in Brazil, probate proceedings must also be conducted there.
In Brazil, the main procedure is called “Inventário.” This is generally a judicial proceeding. If no vulnerable individuals are involved and all heirs agree on the distribution of the estate, the procedure may, in some cases, also be conducted before a notary (more on this shortly).
Through the Inventário, the assets of the estate are identified, the heirs and their respective rights are determined, the inheritance tax is settled, and the assets are then formally transferred to the heirs. In principle, there is no other way to transfer ownership of bank accounts, vehicles, real estate, or companies.
In particular, a German certificate of inheritance does not replace this procedure.
Judicial or extrajudicial inventory?
Brazilian law provides for both judicial probate (inventário judicial ) and extrajudicial settlement by notarial deed, known as inventário extrajudicial.
If the requirements are met, the out-of-court option can be considerably simpler. Brazilian procedural law allows for the settlement of an estate through a notary, particularly in cases of amicable distribution. The parties involved must be represented by attorneys.
The scope of out-of-court estate administration has also been expanded in recent years. Since the amendment of the relevant CNJ regulations in 2024, notarial administration may even be possible under certain conditions—including when parties are minors or legally incapacitated, and even if a will exists. However, special requirements apply in such cases, such as the involvement of the Ministério Público when minors are involved or prior judicial review of a will.
Whether judicial or out-of-court proceedings are appropriate and feasible should therefore be assessed on a case-by-case basis.
What happens to a property in Brazil?
In many cases, an estate in Brazil consists of an apartment or a house.
In this case, it is not sufficient for the children to receive a certificate of inheritance in Germany. The property must be included in the Brazilian probate proceedings, and the transfer of ownership must then be finalized with the relevant Registro de Imóveis.
If the property is to be sold later, the inventory and the planned sale should be coordinated from the very beginning.
What happens to Brazilian bank accounts?
Bank balances are also generally included in the Brazilian “Inventário.”
Therefore, heirs generally cannot simply go to a Brazilian bank with a German death certificate or a German certificate of inheritance and demand payment of the account balance.
Under Brazilian law, the notarized inventory deed may serve as the direct basis for the release of funds held by financial institutions.
Do the heirs have to travel to Brazil in person?
No, this is generally not necessary. We handle the entire estate settlement process for you—and, if you wish, the liquidation of the estate as well.
In this case, a notarized power of attorney is usually required; we will prepare it and make it available to you or to a notary public of your choice.
4. Inheritance Tax in Germany and Brazil
The tax treatment must be considered separately from the actual succession.
In particular, the fact that a parent lived in Brazil and died there does not automatically mean that no inheritance tax is due in Germany.
When is German inheritance tax due?
Whether German inheritance tax is due in a German-Brazilian inheritance case depends, in particular, on
where the decedent and the heir have their domicile or habitual residence, and
where the inherited assets are located.
As a general rule, an individual is subject to unlimited German inheritance tax liability if either the decedent at the time of death or the heir at the time the tax becomes due is considered a “resident” within the meaning of inheritance tax law.
In this case, the entire estate is generally subject to German inheritance tax. This may therefore also include assets located in Brazil, such as Brazilian real estate or bank deposits.
Even German citizens may still be considered residents of Germany for a certain period of time after moving out of the country. Generally, this applies if they have not resided permanently abroad for more than five years without maintaining a residence in Germany.
If, on the other hand, neither the decedent nor the heir is a resident, a so-called limited inheritance tax liability may still apply. In that case, the decisive factor is where and in what form the assets are located.
For the purposes of German inheritance tax, the taxable estate may include, in particular, real property located in Germany, certain types of German business assets, or—under certain conditions—an equity interest in a German corporation.
The location of the assets therefore plays an important role, particularly in cases of inheritance where both the decedent and the heirs reside permanently in Brazil.
For children subject to unlimited tax liability, a personal exemption of 400,000 euros per parent generally applies. In cases of limited tax liability, special rules apply regarding the calculation of the exemption.
Brazilian Inheritance Tax: ITCMD
Brazil also imposes a tax on inheritances. This tax is called the ITCMD—Imposto sobre Transmissão Causa Mortis e Doação.
Unlike the German inheritance tax, this is not a uniform federal tax. Legislation and collection are the responsibility of the Brazilian states and the Federal District. For real estate, the state in which the property is located is particularly relevant. The actual tax burden may therefore depend on whether the estate is located, for example, in São Paulo, Rio de Janeiro, Espírito Santo, or another state. We have listed the tax rates here.
5. Can Germany and Brazil both levy inheritance tax at the same time?
Yes. In cases of German-Brazilian inheritance, it is generally possible that the same inheritance trigger tax consequences in both countries.
There is currently no double taxation treaty between Germany and Brazil regarding inheritance and gift taxes.
However, this does not necessarily mean that the tax is levied in full in both countries simultaneously. Rather, the issue of double taxation must be resolved through the generally applicable national laws of both countries.
Section 21 of the German Inheritance Tax Act (ErbStG) provides, under certain conditions, for the possibility of offsetting against German inheritance tax a tax assessed and paid abroad that is equivalent to German inheritance tax. However, this offset does not occur automatically and depends, in particular, on the assets in question and the statutory requirements.
Important: The tax bases used by the two countries to calculate inheritance tax differ, which is why double taxation can occur even when the respective tax returns are carefully coordinated.
Also important: The inheritance must be reported to the German tax authorities within 3 months notified (this is not yet a tax return!). This applies even if the estate is located exclusively in Brazil and the probate proceedings there have not yet been completed.
6. Assistance with German-Brazilian Inheritance Cases
German-Brazilian inheritance cases are significantly more complex than purely domestic probate matters. In addition to determining which inheritance law applies, it is often necessary to coordinate the administration of the estate in both countries, address tax implications, and ensure the recognition or procurement of documents.
We assist heirs and family members, in particular, with:
the legal classification of German-Brazilian inheritance cases,
the administration of estates in Germany and Brazil,
applying for certificates of inheritance and other documents,
the procurement and verification of Brazilian documents,
coordination with Brazilian attorneys, notaries, and government agencies,
the enforcement of claims to an inheritance and a compulsory share,
the review of German and Brazilian inheritance tax issues, as well as
the cross-border settlement of real estate, bank deposits, and other estate assets.
If you have assets in both countries, we strongly recommend coordinating the German and Brazilian sides from the very beginning. This often helps prevent unnecessary duplication of effort, conflicting procedures, and avoidable tax disadvantages.
