Inheriting Philippine Property Without a Will: Intestate Succession for Heirs Abroad

This guide explains how Philippine property passes when a Filipino or qualifying resident dies without a will (intestate), with practical steps for heirs who live overseas. It’s general information, not legal advice; complex facts, recent law changes, or family disputes may require counsel.

1) Key ideas, fast

“Intestate” means the decedent left no valid will for Philippine law to follow. The Civil Code’s order of heirs decides who inherits.
Citizenship & residence of the decedent affect what assets are taxable (worldwide vs. PH-situs), but title to Philippine land always follows Philippine succession rules.
Heirs abroad can settle an estate without flying home using apostilled special powers of attorney (SPAs) and consular notarization.
If there are no debts and all heirs are of age and agree, an Extrajudicial Settlement (EJS) avoids court. Otherwise, you’ll need judicial settlement.

2) Who inherits in intestacy (no will)

Philippine law sets a priority and sharing scheme:

A. First priority: legitimate descendants (children, then grandchildren by representation)

They inherit in equal shares.
The surviving spouse inherits a share equal to one legitimate child when the decedent leaves legitimate children.
Adopted children are treated as legitimate.
Posthumous children (conceived before death, born after) inherit as if already born.

B. If no descendants: legitimate ascendants (parents, then grandparents)

The estate is split between ascendants and the surviving spouse. In general, half to the spouse, half to the nearest ascendants (if both lines exist, divided by line).

C. If no descendants or ascendants: collateral relatives

Full-blood and half-blood siblings, and their children by representation, may inherit with the surviving spouse.
If only the spouse survives (no descendants, ascendants, or siblings/nieces/nephews), the spouse takes all.

D. Illegitimate children

They inherit from their parents, but not through the parents’ legitimate relatives (the “iron curtain” rule still exists in the Civil Code).
When inheriting together with legitimate children and/or the spouse, their share is generally proportioned (historically half the share of a legitimate child in many contexts). Jurisprudence in this area evolves—get case-specific advice.

E. Disqualifications (“unworthiness”)

Certain acts (e.g., serious crimes against the decedent, falsifying a will) can bar an heir.

Tip: “Representation” lets a grandchild step into a deceased parent’s place. In the collateral line, nephews/nieces can represent a predeceased sibling of the decedent.

3) Effect of the marital property regime

Before computing intestate shares, first determine what portion of the listed assets belonged to the decedent.

Absolute Community of Property (ACP) (default for marriages on/after Aug 3, 1988, absent a prenup): generally 50% to the surviving spouse as their own share; only the decedent’s 50% enters the estate.
Conjugal Partnership of Gains (CPG) (often for marriages before the Family Code or when agreed by prenup): similar concept—net conjugal share of the decedent becomes the estate after settling charges.
Separation of Property (by valid marriage settlement): each owns their exclusive assets; the decedent’s properties form the estate.

4) Foreigners, dual citizens, and heirs abroad

Foreign heirs may inherit Philippine land by intestate or testate succession. The Constitution’s ban on land acquisition by foreigners exempts hereditary succession.
Former natural-born Filipinos may also acquire limited land for residential or business purposes under special laws; separate from succession, those limits matter for later purchases, not for inheriting.
Dual citizens (reacquired under RA 9225) inherit as Filipinos.
Overseas heirs may act via Special Power of Attorney (SPA):
- Execute the SPA before a Philippine embassy/consulate (consularized) or before a local notary and apostille it (PH is an Apostille Convention member).
- The attorney-in-fact in the Philippines can sign the EJS, BIR filings, and transfer documents.

5) Taxes, valuations, and deadlines (what to expect)

Numbers below are principles and common practice. Specific rates, deductions, and amnesties change—verify current BIR rules for your date of death.

Estate tax: computed on the net estate (gross assets at fair market value at death minus allowable deductions).
- FMV of real property is the higher of: BIR zonal value or the local assessor’s value at the date of death.
- Standard deductions and family-home deductions exist under current law; medical/funeral itemized deductions were simplified in recent reforms.
- Due date: generally within one (1) year from death, with potential extensions for filing/payment for meritorious cases.
- Citizens & resident aliens: estate tax generally on worldwide assets.
- Non-resident aliens: estate tax generally on Philippine-situated assets only.
No capital gains tax on transfer by succession. (CGT can apply later when heirs sell.)
Local transfer tax/fees & registry fees apply when titling to heirs.
Bank accounts are typically frozen until BIR clearance (eCAR/CAR)—plan liquidity for taxes.

6) Two ways to settle: extrajudicial vs. judicial

A. Extrajudicial Settlement (EJS) – out of court

Use this if all are true:

No will,
No debts (or all debts are settled/assumed),
All heirs are of legal age (or minors are represented by guardians with court approval), and
Heirs agree on the division.

Steps (typical sequence):

Inventory the estate (titles, tax declarations, bank accounts, shares, vehicles, receivables).
Heir identification (birth/marriage/adoption records); resolve issues of filiation first.
Draft and sign a Deed of Extrajudicial Settlement (or Self-Adjudication if there’s only one heir).
- Execution: in the PH before a notary; or abroad via consularization/apostille.
Publish a notice of the EJS in a newspaper of general circulation once a week for three consecutive weeks.
BIR estate tax filing and payment; secure eCAR/CAR.
Transfer titles:
- Real property: pay local transfer tax; present eCAR, EJS, IDs, tax clearances; Registry of Deeds cancels old title and issues new TCTs/CCTs.
- Tax declaration transfer at Assessor’s Office.
- Vehicles: LTO transfer.
- Shares: corporate secretary transfer; for listed shares, coordinate with broker/transfer agent.
- Bank deposits: bank releases upon CAR/eCAR and bank requirements.
Keep estate assets available for 2 years to satisfy claims by unknown creditors; heirs can be solidarily liable up to the value received.

B. Judicial settlement – through the courts

Use this when: there are debts, minor heirs without guardianship orders, disputes, missing heirs, or questions about filiation/property regime.

The court may appoint an administrator; creditors file claims; assets may be sold to pay obligations; distribution follows the Code.

7) Practical playbook for heirs overseas

Documents to gather

Death certificate (PSA).
Marriage certificate; birth/adoption certificates of heirs (PSA).
Property documents: Original Certificates of Title/Condo titles (TCT/CCT), tax declarations, latest real property tax receipts, condo statements, vehicle OR/CR, bank certifications, stock certificates.
TINs: for the estate and for each heir (BIR requires these).
Debts & claims list, if any.
SPA (apostilled/consularized) authorizing a trusted representative.

Structuring the SPA

Authorize: signing the EJS/Self-Adjudication, BIR filings (estate tax return), receipt of eCAR, payments, LGU and Registry filings, bank/stock transfers, and sale if you plan to sell (state sale authority expressly).

Remote signing & authentication

If you sign abroad before a local notary, get it apostilled (or consularized in countries not under Apostille).
Some registries and banks also ask for passport copies and proof of address.

Bank, stock, and condo administrators

Expect institution-specific checklists (e.g., corporate secretary’s instructions for share transfers; condo association clearance for arrears).

8) Special situations & frequent pitfalls

Undeclared/untitled property: You may need reconstitution or judicial confirmation before or alongside settlement.
Missing titles: Apply for owner’s duplicate reissuance; may require court.
Minors as heirs: Even with EJS, court-approved guardianship (and approval of any sale) is commonly required.
Common-law partners: Not intestate heirs under current law (though children with them are).
Illegitimate children: Establish filiation first (acknowledgment, birth records, DNA/testing, or court determination).
Foreign-situs assets: Coordinate parallel probate/succession and tax rules in that country; PH may still tax if the decedent was a citizen/resident.
Selling before transfer: Typically not allowed; you transfer to heirs first (after eCAR), then heirs sell.
Estate liquidity: If the estate is land-heavy, explore installments/extension with BIR or a short-term loan to pay estate tax.
Deadlines & penalties: Late filings incur surcharge and interest; don’t wait to inventory and value assets.
Multiple marriages: Carefully determine the valid marriage(s) and property regimes per marriage timeline.

9) How shares are commonly computed (illustrative)

These are patterns, not every nuance.

Decedent leaves spouse + 2 legitimate children
1. Identify estate (e.g., 50% of ACP).
2. Divide intestate estate equally among spouse and two children (3 equal shares).
Decedent leaves spouse + parents (no children)
- ½ to spouse, ½ to nearest legitimate ascendants (typically parents).
Decedent leaves spouse + siblings (no descendants/ascendants)
- ½ to spouse, ½ to siblings (by heads; half-blood may count as half-share).
Decedent leaves only spouse
- All to spouse.
Decedent leaves legitimate children + illegitimate child(ren) + spouse
- Everyone inherits; illegitimate children take reduced shares relative to legitimate children (historically one-half of a legitimate child’s share in many contexts), and the spouse shares as above. Get case-specific advice due to evolving jurisprudence.

10) Step-by-step timeline (typical EJS)

Weeks 1–4: Appoint PH representative; gather documents; secure SPAs (apostille/consularize); open TIN for estate.
Weeks 5–8: Asset inventory & valuations; prepare EJS/Self-Adjudication.
Month 3: Notarize EJS; publish 3 consecutive weeks; file and pay estate tax; obtain eCAR.
Month 4+: Transfer titles, tax declarations, vehicles, shares, bank accounts.
Up to 2 years after EJS publication: Keep provision for creditor claims.

(Court settlement takes longer and varies by case complexity.)

11) Checklists

BIR estate tax filing (core items)

Death certificate; IDs/TINs; EJS/Self-Adjudication; asset list with FMV at death (zonal/assessor certifications; bank/stock certifications); proofs for deductions (e.g., family home); marriage/children proof; court orders (if any); SPA; payment forms.

Real property transfer

eCAR; EJS; owner’s duplicate title; tax clearance; official receipts for local transfer tax; IDs/TINs; SPA; condo/homeowner clearances if applicable.

Shares of stock

eCAR; EJS; stock certificates; Affidavit of Loss if missing; board/secretary requirements; transfer fees.

Bank deposits

Bank’s estate release checklist; eCAR; EJS; IDs; SPA.

12) Frequently asked questions (for heirs abroad)

Q: Do I need to fly to the Philippines? A: Not necessarily. With an apostilled/consularized SPA, a local representative can complete most steps.

Q: Can a foreign citizen child inherit our family land? A: Yes, by hereditary succession. Later sale/lease/use follow normal property rules.

Q: We disagree on the division. What now? A: You’ll need judicial settlement; the court can partition, account for advances, and resolve filiation/property regime disputes.

Q: The estate has debts. Can we still do EJS? A: Only if creditors are fully paid or settled and all heirs agree. Otherwise, go to court.

Q: Do we pay capital gains tax on the inheritance? A: No on the transfer by succession. Yes, potential CGT (or other taxes) when heirs sell later.

Q: What if a title is still in a grandparent’s name? A: You’ll likely need a chain of settlements (or a consolidated judicial proceeding) to move title through each deceased owner.

13) Smart preparation tips

Start the TIN and bank certifications early—these can be the bottlenecks.
Get zonal values/assessor certifications as of date of death to avoid re-work.
Keep meticulous scans of IDs, apostilles, receipts, and proofs of publication.
If there are minors, secure guardianship orders before signing EJS or selling property.
Consider a tax/lawyer review for mixed families (prior marriages, illegitimate children), foreign assets, or high-value estates.

14) When to get a lawyer (and/or tax advisor)

Any dispute, debts, or minors involved.
Questions about illegitimacy/representation or changing jurisprudence.
Foreign-situs assets, complicated business interests, missing titles, or ancient estates.
To draft robust EJS and SPAs that institutions and registries will accept the first time.

Bottom line

For heirs living abroad, Philippine intestate succession is manageable with the right paperwork, valuations, and remote authorizations. Start with a clear heir map and asset inventory, decide whether EJS is possible, meet estate tax and publication requirements, and only then proceed to title and account transfers. When in doubt—particularly with illegitimate/representation issues, contested shares, or debts—seek tailored advice.