I want my grandchildren to investing in shares. But there is a practical problem: according to the bank can I as a grandparent not a securities account open in the name of my minor grandchild. Right …
I want my grandchildren to investing in shares. But there is a practical problem: according to the bank can I as a grandparent not a securities account open in the name of my minor grandchild. Is that right?
What your bank says, it is true. Grandparents can not take into account open in the name of a minor grandchild. Parents can be as ‘legal representative’ or open an account for their child but can not give power of attorney. As a grandparent, you can nonetheless have a stock portfolio as a gift to your grandchild on an account by the parents was open but then you can use the portfolio does not further control.
‘A solution is to have your own name for a stock portfolio to manage, and that through will and testament, to leave to your grandchild, ” says Pieter Haine of Bank Nagelmackers. ‘Inheritances up to € 12,500 per grandchild in the Flemish region is exempt from inheritance tax. Together with your partner can be up to 25,000 euros per grandchild free of inheritance tax omissions. With a bewindsclausule, you can ensure that the parents, after your death the portfolio can further manage to your grandchild, for example, 25 years.”
At KBC, you can derdenbeding link to a trading account in your name. In it, you can your grandchild to designate as the beneficiary of your securities account. You can choose the date on which the account is released to your grandchild. As long as you can account for yourself to manage. If you die before the date scheduled for the release then it derdenbeding by. Your heirs may not revoke. In terms of inheritance tax, the same rules apply as in an assignment via testament.