Louisiana law recognizes two fundamental forms of donation: donations inter vivos (gifts made during the donor’s lifetime) and donations mortis causa (gifts that take effect only at the donor’s death, made by will). Both are governed by Louisiana Civil Code articles 1467 following, and both carry specific formalities that must be observed for the donation to be valid.
Getting the classification and formalities right matters. A gift attempted as an inter vivos donation but improperly executed can be void, leaving the intended recipient with nothing. A mortis causa disposition improperly drafted can be treated as intestate property.
Planning a lifetime gift or drafting a will disposition? The formalities Louisiana requires are more technical than in common-law states — a proper civil-law donation avoids costly disputes later.
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The two forms of Louisiana donation
| Donation Inter Vivos | Donation Mortis Causa | |
|---|---|---|
| When it takes effect | During the donor’s lifetime | Only at the donor’s death |
| How it’s made | Notarial act (with limited exceptions for manual gifts) | By valid will (notarial or olographic) |
| Revocable? | Generally NO once accepted (limited exceptions) | YES — testator can change or revoke the will anytime before death |
| Tax basis effect | Carryover basis (donee takes donor’s basis) | Stepped-up basis at death |
| Subject to collation? | Generally yes (among descendants), unless expressly dispensed | Not typically subject to collation |
| Requires acceptance? | Yes, express acceptance during donor’s life | Yes, but occurs after death |
Donations inter vivos: lifetime gifts
An inter vivos donation is a gift the donor makes and completes while alive. The gifted property passes immediately (or upon acceptance) to the donee, out of the donor’s estate.
Formalities required
Louisiana Civil Code Article 1541 requires that most donations inter vivos be made by authentic act — a document executed before a notary and two witnesses in the specific form Louisiana law requires. Failure to comply with this form generally voids the donation.
Manual gift exception
Civil Code Article 1543 provides an exception for “manual gifts” of corporeal movables — things you can physically hand over. A cash gift, a piece of jewelry passed hand-to-hand, or a vehicle whose title is transferred requires no authentic act. Physical delivery and clear donative intent suffice.
The manual gift exception does NOT apply to:
- Real estate (always requires authentic act)
- Incorporeal movables like stocks, bonds, business interests (requires authentic act)
- Bank accounts or other financial assets (typically requires authentic act, though bank forms may satisfy)
- Any donation with a value large enough to raise proof questions later
Acceptance requirement
An inter vivos donation is not complete until the donee accepts. Acceptance must be:
- Express (not merely implied)
- Made during the donor’s lifetime
- Made in an authentic form when the donation requires one
An unaccepted donation can be revoked. Once accepted, the donation is generally irrevocable except in specific circumstances (donee’s ingratitude, failure of a condition, etc.).
Common inter vivos donation uses in Louisiana
- Parents transferring a family home to a child during lifetime (must be by authentic act)
- Gifting business interests to next-generation successors
- Cash gifts to reduce future estate size (subject to federal gift tax rules)
- Transferring investment accounts, life insurance ownership, or annuities
- Charitable contributions during life
Donations mortis causa: gifts by will
A mortis causa donation takes effect at the donor’s death and is made through a valid will (notarial or olographic). The donor retains complete ownership and use of the property during life; only at death does the disposition take effect.
Formalities required
Only a valid Louisiana will can effect a mortis causa donation. This means either:
- A notarial will executed under Civil Code Article 1577, or
- An olographic will entirely handwritten by the testator
An improperly executed will invalidates the mortis causa donations it contains — the property passes under intestate succession rules instead.
Revocability
Mortis causa donations are fully revocable during the testator’s life. The testator can change the will, execute a codicil, or destroy the will — the donee has no vested right in the property until the testator dies. This is a fundamental difference from inter vivos donations.
Common mortis causa uses
- Leaving real estate to specific beneficiaries at death
- Naming residuary and specific legatees in a will (see Louisiana legacies)
- Establishing testamentary trusts
- Making specific-sum bequests
- Providing for surviving spouse and children in a coordinated way
Why the distinction matters
Tax consequences differ significantly
Inter vivos donations carry the donor’s tax basis to the donee (“carryover basis”). If the donor bought a house for $100,000 and gifted it during life when worth $400,000, the donee’s basis is $100,000 — a large embedded capital gain if sold.
Mortis causa donations get a stepped-up basis at the donor’s death. Same house passing through a will at $400,000 value gives the beneficiary a $400,000 basis — no capital gain if sold shortly after.
For appreciated property, mortis causa is usually the tax-preferred approach. For property expected to appreciate substantially in the future, inter vivos may be preferred to shift future appreciation out of the donor’s estate.
Collation applies differently
Louisiana’s collation doctrine generally requires descendants to bring inter vivos donations back to the succession for equal division. Mortis causa donations aren’t typically subject to collation because they occur at the same time as other testamentary dispositions and are already accounted for in the will’s overall scheme.
A parent who wants to give one child a larger effective share should carefully consider whether to do so by lifetime gift (may be subject to collation demands from other children) or by will (typically escapes collation). Express “extra portion” language in either case protects the gift.
Revocability changes the planning calculus
Once completed, inter vivos donations are essentially permanent. Mortis causa dispositions can be changed anytime the testator has capacity. A parent uncertain about a child’s future life direction may prefer mortis causa flexibility over inter vivos irrevocability.
Forced heirship implications
Louisiana’s forced heirship rules protect qualifying descendants (children under 24 or permanently incapacitated) with an inviolable share of the estate. Both inter vivos and mortis causa donations can impinge on forced heirship if they exceed the “disposable portion” the donor could freely give away.
When forced heirship is violated, the excess donation is subject to reduction — the forced heir can recover the amount by which the gift exceeded the disposable portion. Applies to lifetime gifts and testamentary dispositions alike.
Common Louisiana donation mistakes
Attempting real estate transfer without notarial formalities
“I gave my son the property in 2020 — here’s a signed letter saying so.” This is not a valid inter vivos donation in Louisiana. Real estate donations require an authentic act (notarized deed) properly recorded in the parish where the property is located. A signed letter has no legal effect for a real estate transfer.
Confusing lifetime advances with mortis causa gifts
A parent who says “this is your inheritance in advance” when handing over money has made an inter vivos donation, not a mortis causa gift. Collation rules may then require the other children to have the amount accounted for at succession. Document intent clearly — is this an advance, an equalizer, or a true extra portion?
Trying to condition mortis causa gifts on future events
Mortis causa donations can include conditions but the conditions themselves must be reasonable and Louisiana-law-compliant. Certain conditions (marrying a specific person, converting religions, etc.) may be unenforceable or void the gift.
Failing to obtain express acceptance
For inter vivos donations requiring authentic form, the donee’s express acceptance in authentic form is required. Sometimes overlooked when the donee is a minor child (parental acceptance rules apply differently), or when the donee is out of state and doesn’t execute a proper acceptance instrument.
Frequently asked questions
What is a donation inter vivos in Louisiana?
A gift made and completed during the donor’s lifetime. Most require an authentic act (notarial form) with express acceptance by the donee; small manual gifts of movable items are excepted.
What is a donation mortis causa?
A gift that takes effect only at the donor’s death, made through a valid Louisiana will (notarial or olographic). Fully revocable during the donor’s life; becomes fixed only at death.
What does “mortis causa” mean?
Latin for “because of death” or “in contemplation of death.” A donation mortis causa is a gift that takes effect at death, contrasting with donations inter vivos (“between the living”) that take effect during life.
Is a Louisiana will a donation mortis causa?
The dispositions in a Louisiana will ARE donations mortis causa. A will is the instrument that contains and effectuates mortis causa donations.
Do I need a lawyer to make a donation in Louisiana?
Small manual gifts of movables: no. Any real estate donation, business interest transfer, large financial gift, or mortis causa disposition: strongly recommended. The formalities are technical and mistakes void the donation.
Can I revoke a Louisiana donation inter vivos?
Generally no once accepted. Limited grounds for revocation include the donee’s ingratitude toward the donor, failure of a condition, or arrival of a specifically-provided-for future child. Structured properly with revocation conditions, some flexibility is possible.
Can I revoke a Louisiana donation mortis causa?
Yes — anytime during your life with capacity. Execute a new will, execute a codicil, or destroy the old will. The donee has no vested right until you die.
Do lifetime gifts count against my kids’ forced heirship shares?
Potentially yes. Both inter vivos and mortis causa donations can be subject to reduction if they exceed the parent’s disposable portion. Careful planning within the disposable-portion limits avoids surprise reductions.
Are lifetime gifts to a child considered advances on their inheritance?
Presumed to be advances subject to collation unless the parent expressly dispensed the gift from collation. See our guide on collation in Louisiana successions.
What’s the tax difference between lifetime and death-time gifts?
Lifetime gifts: carryover basis (donee takes donor’s basis). Death-time gifts: stepped-up basis (new basis is fair market value at death). For appreciated property, death-time transfer is usually more tax-favorable.
Does Louisiana have a gift tax?
No state gift tax in Louisiana. Federal gift tax applies to gifts above the annual exclusion ($18,000/year per recipient in 2024) but most people never pay federal gift tax due to the lifetime exemption. Louisiana also has no inheritance tax.
Planning a Louisiana lifetime gift or drafting will dispositions? Contact Scott Law Group — Estate Counsel or call (504) 264-1057. Louisiana donation formalities are technical — small formality mistakes can void what would otherwise be perfectly valid gifts.
This article provides general information about Louisiana donations and is not legal advice. Specific situations should be reviewed with a qualified Louisiana attorney.