Inheritance Tax Countdown: The Federal Constitutional Court is hearing the case today and tomorrow!

This raises a crucial question: Is the inheritance tax, in its current form, even compatible with the Basic Law?

The decisions could have far-reaching consequences for private heirs, property owners, and business owners.

But be careful: Negotiations are taking place today and tomorrow—no decision has been made yet!

It could still be several months before the rulings are handed down. The landmark decisions may not be issued until spring 2027.

Inheritance Tax Countdown: The Most Important Points at a Glance

• October 12, 2026, 2:00 p.m.: Can the federal government regulate inheritance tax in this way?
• October 13, 2026, 10:00 a.m.: Are private heirs at a tax disadvantage compared to companies?
• The rulings: Not expected until several months after the hearings.
• For Heirs: Check now to see if you can still contest your tax assessment.

Today, October 12: Bavaria Takes Aim at the Inheritance Tax

Today, the Federal Constitutional Court is hearing a petition for judicial review filed by the Free State of Bavaria.

Bavaria is challenging the federal inheritance tax laws. The main issue at stake is whether the federal government was even authorized to enact the contested provisions.

Property valuations, tax exemptions, and the tax burden also play an important role.

In simple terms: Bavaria wants to determine whether the current inheritance tax rules are consistent with the Constitution.

Official Source: Federal Constitutional Court – Press Release No. 48/2026

Tomorrow, October 13: Why Do Private Heirs Often Pay More?

The second oral hearing will take place on Tuesday.

This time, we’ll be discussing tax breaks for business assets.

Anyone who inherits a business may be eligible for substantial tax benefits under certain conditions.

On the other hand, anyone who inherits a house, an apartment, or other personal assets often has to pay significantly more in inheritance tax.

Is this difference in treatment fair?

This is exactly where the principle of equality under Article 3 of the Basic Law comes into play.

The Federal Constitutional Court is examining whether the tax benefits for business assets place private heirs at an unconstitutional disadvantage.

The procedure therefore does not affect only business owners. It can also be of considerable importance to private heirs.

Official Source: Federal Constitutional Court – Press Release No. 49/2026

When will the inheritance tax rulings be issued?

That is the question on many heirs’ minds right now.

No decision has been announced for October 12 or 13, 2026.

First, the constitutional issues will be heard in open court.

After that, the judges deliberate and prepare their decisions.

Experience has shown that this can take several months. Therefore, it is possible that the landmark decisions will not be published until spring 2027.

Until then, the current inheritance tax rules will generally continue to apply.

Did you receive an inheritance tax assessment? Protect your rights now!

• If you have already received an inheritance tax assessment, you shouldn’t just wait for the court rulings.
• This is because your tax assessment may become final before the Federal Constitutional Court issues its ruling.

By filing an appeal within the deadline, you can keep your tax assessment open.

• By filing an additional motion to stay enforcement, you can request that you be temporarily exempted from paying the inheritance tax.
• PepperPapers offers you the appropriate legal documents for this purpose.

1. Have you received an inheritance tax assessment?

File an appeal and, at the same time, request a stay of enforcement from the tax office.

PepperPapers: Sample Appeal Against Inheritance Tax

2. Did the tax office deny your request for a deferral?

In that case, you can file for emergency legal relief.

PepperPapers: Protection Against Inheritance Tax Enforcement at the Tax Court

3. Did the tax court also reject it?

With the Federal Constitutional Court’s hearings now scheduled, a new legal approach has emerged. Based on our legal assessment, these developments may justify a renewed request for a stay of execution.

PepperPapers: New Request for Deferral Filed with the Tax Office

4. Will the tax office reject the new application as well?

We have already drafted the next legal document for this situation.

PepperPapers: New Protection Against Enforcement at the Tax Court

Our Inheritance Tax Roadmap Shows You the Way

Not sure which legal document you need?

• Our Inheritance Tax Roadmap provides a step-by-step guide on how to proceed after receiving an inheritance tax assessment.
• She explains the fast-track process involving an appeal and a motion for suspension, as well as other options available if the tax office or tax court rejects your application.

Here’s how to find the right legal document for the current stage of your case.

View the Inheritance Tax Roadmap

Our conclusion: Inheritance tax is under scrutiny—but your deadlines are still running!

• Today and tomorrow, the Federal Constitutional Court will hear two important landmark cases involving inheritance tax.
• It remains to be seen whether the current rules will be upheld or found to be unconstitutional.

For heirs, one thing is now more important than anything else: Don’t miss the deadline for filing an objection!

• Those who secure their rights in a timely manner keep open the possibility of benefiting from a future decision by the Federal Constitutional Court.
• And anyone who has already received a denial from the tax office or tax court should check whether recent developments make it possible to file another application.

PepperPapers supports the development process with up-to-date information, a clear roadmap, and the appropriate legal documents.