Transfer of Agricultural Land Title from Parent to Child (Philippines): A Complete Legal Guide

Philippine context • practical + black-letter law • updated to the TRAIN Law era (note: details like rates, forms, and amnesties can change—always verify locally before filing)

1) First things first: what kind of land and what kind of transfer?

A. Is it really “agricultural” land?

Private agricultural land is land that is alienable and disposable (A&D) and not classified as forest, mineral, or national park.
If the parcel is under land reform programs (CLOA, Emancipation Patent/EP, agrarian reform beneficiary awards), special restrictions apply (see §8).

B. The usual ways a parent can pass title to a child

Inter vivos donation (during the parent’s lifetime)
Succession (upon death), either testate (by will) or intestate (no will)
Sale (including “for love and affection” sales—but tax and CARP rules still apply)
Partition/settlement among heirs (e.g., extrajudicial settlement)
Assignment/waiver of rights (only when the “right” is transferrable and recognized)

Tip: Donation vs. succession is largely a tax and timing question—and a family relations question (legitime, see §2).

2) Civil law guardrails you cannot ignore

A. Legitime & inofficious donations

Parents cannot give away more than the “free portion” of their estate to one child if it impairs the legitime of other compulsory heirs (e.g., spouse, other children).
An excess donation is inofficious and reducible later during estate settlement.

B. Capacity & acceptance (donations)

Donor: must have capacity to dispose. If the land is part of community/conjugal property, spousal consent is required.
Donee: must accept the donation in the same deed or in another instrument during the donor’s lifetime.
If the child is a minor, acceptance is by parents/guardian; administration and any encumbrance later will need court authority.

C. Filipino citizenship rules

Only Filipino citizens (including dual citizens) and Philippine corporations with ≥60% Filipino equity can acquire land.
A foreign child may inherit by hereditary succession (constitutional exception) but cannot receive a land donation inter vivos unless the child is Filipino/dual at the time of donation.

3) Taxes at a glance (for planning)

Mode	Core National Tax	Base	When due
Donation	Donor’s Tax – 6% on net gifts over ₱250,000 per calendar year	FMV (higher of BIR zonal or Assessor’s schedule), less allowable charges	Within 30 days from date of donation
Succession	Estate Tax – 6% of net estate	Gross estate less deductions (e.g., ₱5M standard deduction, Family Home up to ₱10M, etc.)	Within 1 year from death (extendible)
Sale	Capital Gains Tax (CGT) – 6% (for capital assets) + DST (1.5%)	Higher of zonal value, assessed FMV, or price	CGT: usually 30 days from sale; DST on execution/filing

Also expect: local transfer tax, registration fees, notarial fees, certifications, and arrears in real property tax (must be cleared).

Note: The Estate Tax Amnesty timelines have been extended by law in recent years; check the current cutoff at your RDO.

4) Documentary playbook by scenario

A. Donation (Parent → Child) — Inter Vivos

Draft & notarize a Deed of Donation (immovable), stating:
- Full legal descriptions (TCT/OTC number, lot/block, area, technical description)
- Donor’s title and capacity; if conjugal/community, spouse’s conformity
- Donee’s acceptance (same deed is safest)
- Delivery clause (symbolic delivery via deed for immovables)
Mandatory attachments (typical list; your RDO/LGU may add items):
- Certified true copy of TCT/OTC, latest Tax Declaration, Realty Tax Clearance
- Vicinity/Zonal valuation printout (if required), IDs/TINs of donor/donee
- Proof of relationship (birth cert) for kinship-based rules
- If agricultural with reform coverage, DAR clearance (see §8)
File Donor’s Tax (BIR Form 1800) and pay within 30 days; secure eCAR.
Pay local transfer tax (rate and deadline vary by LGU; commonly within 60 days).
Registry of Deeds (RD): present eCAR, owner’s duplicate title, deed, tax clearances, IDs, and pay registration fees to have a new TCT issued in the child’s name.
Assessor: cancel old Tax Declaration and issue a new one to the child.

B. Succession (Parent dies; title to Child)

If there’s a will (testate):

Probate in court is mandatory. After allowance of will and tax compliance, the court’s decree of distribution + eCARs will support transfer at RD.

If there’s no will (intestate) and there are no debts:

Heirs may execute an Extrajudicial Settlement (EJS) (or Self-Adjudication if sole heir), publish notice once a week for 3 consecutive weeks in a newspaper of general circulation, file estate tax return (BIR Form 1801), pay estate tax, obtain eCARs, then proceed to RD and Assessor.

If there are debts, minors, disputes, or non-consenting heirs:

File for judicial settlement/intestate proceedings; follow court orders before BIR/RD actions.

Typical attachments: Death certificate, proof of heirship (birth/marriage certificates), EJS/Decree, tax docs, IDs/TINs, tax clearances, titles, DAR clearance if applicable.

C. Sale (Parent sells to Child)

Still a full sale for tax purposes: pay 6% CGT + 1.5% DST, plus local transfer tax, etc.
If property is an ordinary asset (e.g., real estate dealer), CWT/VAT rules apply instead of CGT.
Follow the same eCAR → RD → Assessor sequence.

5) Step-by-step timeline (typical, non-CARP land)

Due diligence: check title, encumbrances, DAR flags, tax arrears, zonal value.
Choose transfer mode (donation vs succession vs sale) with tax and legitime in mind.
Prepare & notarize the deed (or court pleadings if probate/intestate).
BIR: file the correct return, pay taxes, and secure eCAR(s).
LGU: pay transfer tax and get clearances.
RD: lodge owner’s duplicate, eCAR, deed, IDs; claim new TCT.
Assessor: issue new Tax Declaration.
Post-transfer: update RPT billing, utilities, and estate planning documents.

6) Valuation basics that drive your taxes

The tax base uses the higher of: (a) BIR Zonal Value or (b) Assessor’s Fair Market Value in the latest tax declaration.
For large agricultural tracts, zonal value may be per square meter by barangay/sitio; verify the specific barangay code.
Improvements (e.g., farm structures) may be valued separately on the tax declaration.

7) Local taxes, fees, and practical costs

Transfer Tax (LGU): commonly 0.5%–0.75% of the tax base (cities may be higher than provinces).
Registration fees (RD): scaled by consideration/value; add fees for annotations, certifications.
Real Property Tax (RPT): must be current; arrears block transfer.
Notarial fees, certified copies, publication (for EJS), survey (if subdividing/partitioning).

8) Special rules for agrarian reform and patent titles

A. CARP-covered lands (CLOA/EP; RA 6657 as amended by RA 9700)

Prohibition on sale/transfer by an agrarian reform beneficiary (ARB) typically for 10 years from award; even after, transfers are restricted (e.g., to heirs, to the government/LandBank, or with DAR approval).
Mortgage/encumbrance needs DAR clearance.
Partition of a collective CLOA has DAR procedures; keep area thresholds (e.g., 3-ha per ARB award) in mind.
Violations can lead to cancellation of the award or reversion; do not “token sale” to a child to evade CARP.

B. Land conversion vs. simple transfer

Changing use from agricultural to non-agricultural requires a DAR Conversion Order (separate from ownership transfer).
Transferring to an heir without changing land use does not require conversion, but still watch reclassification issues at the LGU.

C. Public land patents

Agricultural Free Patents (under CA 141 as amended by RA 11231) had key restrictions lifted in 2019 (e.g., the old 5-year sale/mortgage ban).
Homestead patents retain classic restrictions (e.g., 5-year no-sale and right to repurchase within a set period). Read the exact patent conditions on your title.

9) Subdivision, partition, and “one child gets the farm”

If only one child will own the farm but the title covers a bigger area shared among heirs or includes non-farm portions:

Do a partition/subdivision survey; secure DENR/LGU permits if needed.
Execute Deed of Partition (or incorporate in EJS/court decree).
Each resulting lot will get a separate TCT; then transfer only the relevant lot to the designated child.

10) Common pitfalls (and how to avoid them)

Skipping DAR clearance on a CLOA/EP: transfers get denied at BIR/RD.
Donating to a foreign-citizen child: void acquisition; use succession instead, or have the child reacquire Philippine citizenship first (e.g., dual).
Impairing legitime: a generous donation today may be clawed back later.
Old Tax Declaration data**:** wrong barangay/zonal mapping = wrong tax base and delays.
Unpaid RPT or irrigation/cadastral fees: the eCAR may issue but RD won’t transfer.
No acceptance in donation deed: void donation of immovables.
Conjugal property donated without spousal consent: void/voidable.
Using “P1.00 sale” to avoid donor’s tax: BIR recomputes on zonal/FMV; you’ll still pay—and risk penalties.

11) Who does what (quick map)

Notary Public: notarizes deeds (donation, sale, EJS, partition).
BIR (RDO where property is located): accepts returns (Forms 1800/1801/1706 or 1606/2000OT as applicable), issues eCAR.
LGU Treasurer/Assessor: collects transfer tax, updates Tax Declaration.
Registry of Deeds: cancels old TCT, issues new TCT.
DAR/DENR: clearances (CARP/patents), conversion orders, surveys.

12) Practical checklists

Donation checklist

☐ Valid Deed of Donation with acceptance
☐ If conjugal: spousal consent
☐ TCT/OTC (CTC), latest Tax Dec, RPT clearance
☐ IDs/TINs of donor & donee; birth certificate (proof of relationship)
☐ Zonal/valuation reference
☐ DAR clearance (if CLOA/EP or flagged)
☐ BIR Form 1800 + payment → eCAR
☐ Transfer Tax (LGU)
☐ RD transfer → new TCT
☐ Assessor → new Tax Dec

Succession (no debts; EJS path)

☐ Death certificate; heirs’ civil docs
☐ EJS/Self-Adjudication, notarized
☐ Publication (1×/week × 3 weeks)
☐ BIR Form 1801 + attachments; pay estate tax → eCARs
☐ LGU Transfer Tax
☐ RD transfer → new TCTs
☐ Assessor updates

13) FAQs (the ones everyone asks)

Q: Can we donate only “naked title” and reserve usufruct to the parent? A: Yes. That’s a donation with reservation of usufruct—clearly state it in the deed so the usufruct is annotated on the title.

Q: Is a “sale to my child” cheaper than a donation? A: Often no. A sale usually triggers 6% CGT + 1.5% DST + transfer tax; a donation triggers 6% donor’s tax (with the ₱250k annual exclusion). Compute both with actual zonal/FMVs.

Q: Can one child get more now and we ‘fix’ it later? A: You can—but excess over the free portion is subject to reduction at estate settlement. Expect family-law friction if not documented fairly.

Q: The land is CLOA. Can I put it in my child’s name now? A: Extreme caution. ARB transfer limits apply. Usually no free transfer within the prohibited period and even after, DAR approval/conditions apply. See §8.

Q: My child is a foreign citizen. Any option besides waiting for succession? A: Reacquire Philippine citizenship (dual), then donate/sell. Otherwise, rely on hereditary succession.

14) Smart sequencing for families

Map heirs & legitime with a lawyer or estate planner.
Check DAR status of the land before choosing the path.
Run the tax math (donation vs sale vs succession) using real zonal values.
If going the donation route, consider usufruct reservation for parental security.
If several parcels, consider staggered gifts (mind the ₱250k donor’s annual exclusion, but remember legitime).

15) Short templates (for your drafter)

Donation clause: “Donor hereby donates, and Donee hereby accepts…” + full technical description, delivery, warranties, legitime caveat, acceptance paragraph, date/place, signatures, spousal conformity if needed.
EJS key lines: clear listing of heirs, statement of no debts, detailed lot allocation, undertaking to publish, authority to process taxes and transfer.

(Have your counsel tailor these to your facts; small wording differences can void a donation or stall an RD transfer.)

16) When to get professional help (and why)

Any CARP/CLOA/EP tag on the title or tax dec
Foreign/dual citizenship issues
Blended families or adoptions (affects legitime)
Discrepancies in area or technical descriptions
Subdivisions/partitions and right-of-way concerns

Bottom line

Transferring agricultural land from parent to child in the Philippines is absolutely doable—but the right pathway (donation, succession, or sale) depends on family-law limits, DAR restrictions, and tax math. Nail the paperwork, respect legitime, clear the tax and DAR hurdles, then take the eCAR → RD → Assessor route to finish the job.

If you want, tell me:

whether the land is CLOA/EP/patent or ordinary TCT,
the city/municipality (for local transfer tax), and
whether you prefer donation or succession— and I’ll sketch a tailored, step-by-step checklist with a draft deed outline next.