Executor of Estate & Probate Requirements in the Philippines

A comprehensive guide for lawyers, executors-designate, and heirs

Quick view • Governing sources: Civil Code (Arts. 774-1105), Rules of Court (Rules 73-90), Special Rules on Small Estates (A.M. No. 02-11-07-SC), Tax Code (NIRC, as amended), and BIR Revenue Regulations. • Court with jurisdiction: Regional Trial Court (RTC) sitting as a Special Probate Court in the province or city where the decedent resided, or where property is situated if the decedent was non-resident. • Key documents: Verified petition, original will, death certificate, bond, inventory & appraisal, estate tax return, project of partition/final accounting.

1. Who (and What) Is an Executor?

	Executor (testate)	Administrator (intestate or no qualified executor)
Source of authority	Will + Letters Testamentary	Court appointment + Letters of Administration
Statutory basis	Civ. Code Arts. 1058-1060; ROC Rule 79	Civ. Code Art. 895; ROC Rules 78-79
Bond required?	Yes—court may waive only if will expressly so provides and no interested party objects (Rule 81 §2)
Powers & duties	Collect assets, preserve estate, pay debts & taxes, render accountings, distribute residue per will
Termination	Completion of settlement, discharge by court, resignation, removal for cause, or death

Eligibility (Rule 78 §1; Art. 1057) A person is competent to serve if at least 18 years old, of sound mind, not convicted of a crime involving moral turpitude, and resident of the Philippines. A corporation / trust company may be appointed if authorized by law (General Banking Law; PD 1949 for trust entities).

Foreign executor: Allowed if (a) named in the will, and (b) a resident of the Philippines or from a country that allows reciprocal recognition of Filipino executors (Art. 1059).

2. Probate Basics: When, Where, and How

Scenario	Proceeding to File	Rule/Statute
Validating a will (testate)	Petition for probate (and issuance of Letters Testamentary)	Rule 75
No will or no qualified executor	Intestate proceedings (Letters of Administration)	Rule 73
Foreign will covering PH assets	Reprobate (allowance of foreign will)	Rule 77
Estate ≤ ₱10 million and heirs agreed	Extrajudicial settlement via notarized deed + publication	Sec. 1, Rule 74
Gross value ≤ ₱300,000 (prov.) / ₱500,000 (Metro Manila)	Summary settlement of small estates	A.M. No. 02-11-07-SC

Filing requirements for a probate petition

Verified petition stating jurisdictional facts, heirs, properties, and reliefs (Rule 76 §2).
Original will (or authenticated copy if already probated abroad).
Death certificate.
List of heirs & compulsory heirs with their addresses.
Estimated value of estate to aid the court in fixing bond.
Publication & notice: Three consecutive weeks in a newspaper of general circulation + personal service to heirs (Rule 76 §3).

⚠️ Statute of repose: No time bar for probate itself, but estate tax must be paid within one (1) year from decedent’s death (NIRC §90) to avoid penalties.

3. Duties & Powers of an Executor

Stage	Key Actions	Legal Basis
Qualification	File oath & bond (Rule 81).	Rule 79 §1-2
Marshalling of assets	Take possession, secure titles, close bank accounts (need BSP-clearing), open estate bank account.	Art. 1058; Rule 85
Inventory & appraisal	Submit within three (3) months from appointment unless extended.	Rule 85 §1
Debt & tax settlement	Publish notice to creditors (Rule 86 §1), examine claims, pay legitimate debts. File and pay estate tax with BIR; secure eCAR for each real property.	NIRC §§86-97; Rule 86
Accounting	First accounting within twelve (12) months, then annually or as ordered.	Rule 85 §8
Distribution	After debts and taxes, submit project of partition or proposal for distribution; obtain court approval and Order of Partition.	Rule 90
Discharge	Upon compliance and final accounting, request judicial discharge; bond is cancelled.	Rule 85 §2

Special powers (require prior court approval unless will expressly grants):

Sale or mortgage of real property (Rule 89).
Investment or reinvestment of funds.
Compromise of claims beyond ₱300,000 (Art. 1390) or those involving minors.

4. Bond: Amount, Waiver, and Forfeiture

Fixing the amount: Court considers estate value and nature of assets (Rule 81 §1).
Waiver in will: Binding if no interested party objects; otherwise court may still require a bond.
Forfeiture: For mismanagement or misappropriation; heirs may sue on the bond.

5. Removal, Resignation, and Substitution

Grounds for removal (Rule 82 §1): neglect, embezzlement, incapacity, or failure to render accounts.

Court issues citation; due process required.
Successor executor (named in the will) or administrator will be appointed.

Resignation (Rule 82 §2): Must file petition; account for acts; until accepted, duties continue.

6. Executor’s Liability & Compensation

Aspect	Rule
Personal liability	Responsible for losses caused by negligence or bad faith; may be criminally liable for estafa, tax evasion.
Compensation	(a) Commission: Not > ₱4,000 + 2% on estate > ₱100,000 (Rule 85 §7), unless will grants higher fee. (b) Reasonable expenses reimbursable.
Attorney’s fees	May hire counsel, subject to court approval; paid out of estate if beneficial.

7. Tax Compliance Checklist

TIN of Estate – secure separate TIN from BIR.
Estate Tax Return (BIR Form 1801) – file within one year from death (NIRC §90). Extensions possible for meritorious cases.
Certification Authorizing Registration (eCAR) – required for transfer of each real property or shares of stock.
Withholding & Income Tax – executor files annual ITR for income earned by the estate during settlement (NIRC §65).
Documentary Stamp Tax – on deeds of sale/mortgage if properties need to be liquidated.

8. Closing the Estate

Prerequisites for final discharge

All debts paid & taxes cleared (BIR eCARs presented).
All accounts settled and approved by court.
Proof of distribution/transfer of titles.
Motion for discharge & cancellation of bond granted; “Order of Final Settlement and Distribution” issued.

After discharge, the executor’s authority ceases, but liabilities for prior acts survive (Art. 1145, Civil Code).

9. Practical Tips & Common Pitfalls

Tip	Why it matters
File petition in the proper RTC branch early—court queues are long.	Avoid penalties on late estate tax filing; interest is 20% p.a.
Publish the probate notice exactly as ordered.	Defective publication defeats jurisdiction; probate becomes void.
Keep meticulous receipts and vouchers.	Probate courts scrutinize every disbursement in accounting.
Insure perishable or high-value assets.	Executor is liable for avoidable loss.
Secure written conformity of heirs for property sales.	Speeds up court approval; reduces contest.
For overseas heirs, send notices by registered mail with return card.	Ensures due process; prevents later collateral attacks.
If will is contested, be ready to present subscribing witnesses and notary.	Burden of proving due execution lies with proponent (Rule 75 §5).

10. Special Topics

Digital Assets – No explicit PH law yet; executor should preserve login credentials (Data Privacy Act considerations).
Islamic heirs – Shari’ah courts have exclusive jurisdiction for Muslims in certain regions (PD 1083).
Corporate shares in listed companies – Executor must secure board approval and comply with SEC/BSP rules on “estate” accounts.
Land under CARP – Transfer may need DAR clearance; consider retention limits.

11. Flowchart of a Typical Testate Probate

Death → Petition for Probate filed → Court issues Order & sets hearing
     ↓ (publication & notices)
Proof of will’s execution/hearing of oppositions
     ↓
Order Allowing Will + Letters Testamentary issued
     ↓
Oath & Bond → Inventory/Appraisal (3 mos)
     ↓
Notice to Creditors (6 mos) → Settlement of Debts & Taxes
     ↓
Accounts & Project of Partition filed → Court Approval
     ↓
Distribution of Estate → Receipts signed by heirs
     ↓
Final Accounting → Order of Discharge → Estate CLOSED

12. Conclusion

Serving as executor in the Philippines is both an honor and a fiduciary burden. Mastery of the procedural rules, tax deadlines, and documentary minutiae is essential to avoid personal liability and to shepherd the estate efficiently from probate to partition. While this article endeavors to cover the field comprehensively, every estate presents unique factual wrinkles—consulting qualified counsel remains indispensable.

Disclaimer: This material is for informational purposes only and does not constitute legal advice. Consult a Philippine lawyer for advice on specific situations.