To transfer an inherited land title, the heirs must first settle the estate, usually through a notarized Extrajudicial Settlement of Estate published once a week for three consecutive weeks, then file the estate tax return with the BIR within one year of death and pay the 6% estate tax. The BIR issues an electronic Certificate Authorizing Registration, which the heirs present to the Registry of Deeds together with the settlement deed to have new titles issued in their names.
When a parent dies leaving land, the title does not pass to the children automatically. Until the estate is settled and the estate tax paid, the property stays in the deceased’s name — which means it cannot be sold, mortgaged, or cleanly divided. This guide walks through the transfer from start to finish. It is the practical companion to our commentaries on extrajudicial settlement and estate tax.
Step 1: Identify the Heirs and the Estate
Start by determining who the heirs are under the rules on compulsory and intestate succession, and by inventorying what the deceased actually owned — the title, tax declarations, bank accounts, vehicles, and any debts. Missing an heir is the single most damaging error, because a settlement that excludes an heir does not bind them.
Step 2: Choose the Settlement Route
There are two paths:
- Extrajudicial Settlement of Estate under Rule 74 — available when the deceased left no will, there are no unpaid debts, and all the heirs agree (minors must be represented). This is faster and cheaper.
- Judicial settlement — required if there is a will (which must be probated), if the heirs cannot agree, or if the estate has debts to be settled. If even one heir refuses to sign, the extrajudicial route is closed and the remedy is a court action for partition.
Step 3: Execute and Publish the Settlement Deed
The extrajudicial settlement is embodied in a notarized public instrument signed by all the heirs, describing the estate and how it is divided. It must then be published in a newspaper of general circulation once a week for three consecutive weeks. Keep the publisher’s affidavit of publication — the Registry of Deeds will ask for it.
Step 4: File the Estate Tax Return and Pay
File BIR Form 1801 within one year from the date of death and pay the 6% estate tax on the net estate. The deductions are generous: a ₱5,000,000 standard deduction that needs no substantiation, and a family home deduction of up to ₱10,000,000. For many modest estates these wipe out the tax entirely — but the return may still have to be filed, and it must be filed for any estate that includes registrable property.
One hard truth for families who have delayed: the estate tax amnesty has closed. It covered deaths on or before May 31, 2022 and its final deadline was June 14, 2025. Estates are now settled under the regular regime, with surcharges and interest accruing on late payment, so delay only makes the bill grow.
Step 5: Secure the eCAR
Once the estate tax is settled, the BIR issues the electronic Certificate Authorizing Registration (eCAR). This is the gatekeeping document: without it, the Registry of Deeds will not cancel the deceased’s title.
Step 6: Pay the Transfer Tax and Clear the Amilyar
Pay the local transfer tax at the provincial or city treasurer’s office and secure a real property tax clearance showing the amilyar is current. Unpaid real property tax is a lien that follows the land, and it will surface here.
Step 7: Register and Update the Tax Declaration
Present the settlement deed, the affidavit of publication, the eCAR, the owner’s duplicate title, and the tax clearances to the Registry of Deeds. It cancels the old title and issues new titles in the heirs’ names — either one title held in co-ownership, or separate titles if the heirs partitioned specific portions. Finally, update the tax declaration at the assessor’s office.
The Two-Year Rule and the Heir Who Will Not Sign
Two practical warnings. First, an extrajudicial settlement does not extinguish the rights of an omitted heir or an unpaid creditor: under Rule 74 they may still enforce a claim within two years from the settlement, so the heirs remain exposed during that window. Second, if an heir refuses to sign — or has been occupying the property and will not cooperate — no amount of paperwork will substitute for their consent. The remedy is a judicial partition before the Regional Trial Court, which can order the property divided or sold and the proceeds distributed.
Frequently Asked Questions
Can we transfer an inherited title without paying estate tax? No. The BIR must first issue an electronic Certificate Authorizing Registration, and it releases the eCAR only after the estate tax is settled. Until then, the property stays in the deceased's name and cannot be sold or mortgaged.
How long do we have to settle the estate? The estate tax return must generally be filed and the tax paid within one year from the date of death. Extensions and installment payment may be allowed in meritorious cases, but interest and surcharges accrue on late payment.
What if one of the heirs refuses to sign? An extrajudicial settlement requires the agreement of all the heirs, so it cannot proceed if even one refuses. The remedy is a complaint for judicial partition before the Regional Trial Court, which may order the property divided or sold.
Is the estate tax amnesty still available? No. The amnesty covered deaths on or before May 31, 2022 and ended on June 14, 2025. Estates are now settled under the regular 6% estate tax, with surcharges and interest on late payment.
This commentary is for general informational purposes only and does not constitute legal advice. For guidance specific to your situation, please consult a licensed attorney.
If you need to settle a parent's estate and put the title in the heirs' names, our firm can handle the settlement, the BIR, and the registration. You may reach us via Viber or WhatsApp, call us at 0995 433 5550, or send an email to vivasnobles@gmail.com. We look forward to hearing from you.