Lebanon’s Finance Minister had issued a decision setting out procedures for applying inheritance tax exemptions, reductions and rates under Article 45 of the 2026 General Budget Law. The decision had also provided for the recalculation of transfer fees and maintained existing declaration procedures until new electronic applications were developed.
Lebanon’s Finance Minister had issued a decision detailing the procedures for implementing inheritance tax provisions introduced under Article 45 of the 2026 General Budget Law.
The decision had established practical mechanisms for applying the exemptions and amendments provided under the law, including the recalculation of transfer fees in line with the revised provisions.
Inheritance tax exemptions and rates
Under the decision, inheritances occurring before 1 January 2007 had been exempted from inheritance tax.
It had also specified the applicable exemptions, reductions and tax rates for inheritances arising between 1 January 2007 and 15 November 2022, as well as those occurring from 16 November 2022 onwards.
For inheritances occurring from 16 November 2022, the exempt portion of the net inheritance share had been set at:
- LBP 2.4 billion for each descendant, spouse and parent;
- LBP 960 million for ascendants other than parents and for siblings; and
- LBP 480 million for other heirs.
These exemptions had applied in addition to other reductions provided for under the law.
Aid and donation exemptions
The decision had also exempted all aid, subsidies and grants paid from public funds.
For donations, the exemption had been capped at SYP 96 million. The exemption had risen to SYP 6 billion where the recipient was an institution or association falling within the categories specified by law, including religious endowments.
Recalculation of transfer fees
The decision had also addressed taxpayers liable for transfer fees who had not paid amounts due on transactions taking place after 16 November 2022.
The relevant financial units had been instructed to recalculate the fees according to the new provisions. The measure had also covered taxpayers who had previously received approval to pay their fees in instalments, with the applicable reductions being applied to outstanding instalment amounts.
Electronic applications
To safeguard taxpayers’ rights to submit declarations within statutory deadlines, the decision had maintained existing procedures until the required electronic applications had been developed.
The planned applications had been intended to allow citizens to submit transactions, calculate transfer fees based on their declarations and make payments electronically.
The decision had taken effect immediately upon its issuance and publication in the Official Gazette and on the Ministry of Finance’s website.
