Transfer of Tax Declaration to Heirs in the Philippines A comprehensive legal guide (updated to July 2025)
1. What a “Tax Declaration” Really Is
| Feature | Tax Declaration | Certificate of Title (TCT/OCT) |
|---|---|---|
| Issuing office | City/Municipal Assessor | Registry of Deeds |
| Purpose | Basis for real-property tax assessment and collection | Conclusive evidence of ownership under the Torrens system |
| Evidentiary weight | Mere indicium of possession; never proof of ownership | Indefeasible once registered, subject to a few statutory exceptions |
| Transfers | Done at the Assessor’s Office after settlement of the estate | Done at the Registry of Deeds after payment of estate tax and LGU transfer tax |
Key takeaway: The tax declaration follows the title. You cannot validly “transfer” a tax declaration to heirs unless you have first settled the estate and (where titled) transferred—or at least annotated—the ownership in the Registry of Deeds.
2. Applicable Law & Regulations
| Area | Authority |
|---|---|
| Succession & partition | Civil Code of the Philippines (Arts. 960 – 1106) |
| Estate tax | National Internal Revenue Code (NIRC) as amended by TRAIN Law (RA 10963) and Estate Tax Amnesty Laws (RA 11213, RA 11569, RA 11956) |
| Transfer tax | Local Government Code (RA 7160), local revenue ordinances |
| Real-property tax declarations | Property Valuation & Assessment Law (PD 464), as carried by LGU Revenue Codes; DOF-BLGF assessment manuals |
| Extrajudicial settlement | Rule 74 of the Rules of Court |
| Documentary stamp tax | Sec. 196, NIRC |
| Guardianship for minors | Rule 96, Rules of Court; Family Code |
| Special tenurial laws | CARP/CARL, IPRA, Condominium Act, etc. (as context requires) |
3. Before You Go to the Assessor: Settle the Estate First
Determine the mode of succession
- Testate – Probate the will in court.
- Intestate – Heirs execute an Extrajudicial Settlement (EJS) only if (a) no will, (b) no outstanding debts, and (c) all heirs are of age or represented by guardians.
File and pay the estate tax
- BIR Form 1801 within one (1) year from death (extendible).
- Rate: 6 % of net taxable estate.
- Penalties: 25 % surcharge + 6 % annual interest.
- Amnesty window: Deaths on or before 31 May 2022 may still avail of the estate-tax amnesty until 14 June 2025 (RA 11956).
Secure a BIR Electronic Certificate Authorizing Registration (e-CAR) for each real property.
Pay Local Transfer Tax (usually 0.5 % – 0.75 % of the property’s fair-market or zonal value) at the City/Municipal Treasurer.
Register the EJS / Deed of Partition at the Registry of Deeds (RD).
- Untitled property: RD opens a new primary entry book page or issues a tax declaration-based annotation.
- Titled property: RD issues new TCTs/OCTs in the names of the heirs (individually or in undivided shares).
Only after Step 5 will the Assessor entertain the transfer or splitting of the tax declaration.
4. Documentary Requirements at the Assessor’s Office
| Core Documents | Supporting Documents (as applicable) |
|---|---|
| Original/CERTIFIED TRUE COPY of new TCT/OCT or RD annotation page (if untitled) | Death certificate of decedent |
| e-CAR (BIR) | Marriage certificate (if spouse heir) |
| Deed of Extrajudicial Settlement / Partition (notarized, with newspaper publication clippings) | Birth certificates of compulsory heirs |
| Real-Property Tax (RPT) Clearance (treasurer) | DAR-issued Clearance (for covered agricultural land) |
| Latest Tax Declaration | Approved subdivision/relocation plan (if partitioned) |
| Transfer-tax receipt (LGU) | Court order (if judicial settlement, probate, or guardianship) |
Tip: Bring both original and at least two photocopies of every page, including registry stamps and notarial pages. Some assessors require digital scans on USB or email.
5. Step-by-Step Procedure at the Assessor’s Office
Obtain application form for transfer/new tax declaration; accomplish in triplicate.
Submit documents for technical evaluation. The appraisal division checks:
- e-CAR authenticity via BIR portal
- lot and title data vs. existing tax-mapping records
- unpaid real-property taxes and penalties (if any)
On-site inspection (optional; usually for partition or boundary changes).
Assessment and valuation—Assessor determines Current and Fair-Market Values under latest schedule.
Payment of assessment fees (minimal; varies by LGU).
Issuance of new Tax Declaration(s)—either
- “in common” (co-ownership) or
- per heir according to the partition instrument.
Annotation in Tax Mapping Index (TMI) and Encoding into the LGU property database.
Release of Owner’s Duplicate copies (stamped “Received”)—keep these with the heirs’ records.
Processing time ranges from one (1) day (simple change of name) to 2–4 weeks (multiple parcels or technical issues).
6. Fees & Taxes at a Glance
| Item | Rate / Basis | Typical Deadline |
|---|---|---|
| Estate tax | 6 % of net estate | Within 1 year from death |
| Documentary Stamp Tax on EJS | ₱15 per every ₱1,000 of FMV above ₱1 million | Upon notarization |
| Transfer tax (LGU) | 0.5 % – 0.75 % of FMV/Zonal Value | 60 days from RD registration |
| Certification/assessment fees | Fixed (₱50 – ₱500 per parcel) | Upon filing at Assessor |
| Notarial fee | ~1 % of FMV/Zonal Value OR per notary’s schedule | At execution of deed |
| Publication cost (Rule 74) | Depends on newspaper | Immediately after notarization |
| Real-Property Tax (annual) | Basic 1 % + SEF 1 % of Assessed Value | Quarterly or annual |
7. Special Situations & Practical Notes
| Scenario | Additional Compliance |
|---|---|
| Minor heirs | Secure court-approved guardianship or approval of settlement; guardian signs EJS |
| Contested estate / will | Probate or intestate proceedings required; tax declaration waits for final order |
| Heirs abroad | SPA authenticated by Philippine consulate (or apostilled); attach to EJS |
| Property in multiple cities/provinces | Each LGU needs its own set of documents; pay transfer tax and file at each Assessor |
| Agricultural land > 5 ha | DAR clearance or retention limit certification |
| Co-ownership retained | Tax declaration may remain in the Estate of the Late [Name] or in the collective names of heirs; annotate shares for clarity |
| Sale simultaneous with EJS | Prepare separate Deed of Sale + pay 1.5 % Documentary Stamp Tax + 6 % Capital Gains (or VAT if dealer); buyer gets own e-CAR, title, and tax declaration |
8. Common Pitfalls
- Skipping the estate-tax step—Assessor will not honor a transfer without an e-CAR.
- Using an EJS without publication—void under Rule 74; RD and Assessor may refuse.
- Assuming a tax declaration = ownership—buyers should still check the title; tax declarations alone lose in court.
- Unpaid RPT of previous years—liability attaches to heirs; property can be sold at public auction.
- Late filing of estate tax—penalties may exceed the tax; consider amnesty if qualified.
- Partition without approved subdivision plan—Assessor cannot assign individual tax declarations.
9. Selected Jurisprudence
| Case | G.R. No. | Holding |
|---|---|---|
| Heirs of Malate v. Gamboa | 170139 (2005) | Tax declarations and tax receipt payments are not conclusive proof of ownership; they are merely indicia. |
| Heirs of Malate v. CA | 165412 (2009) | Land registration protects titled owners; tax declarations cannot defeat title. |
| Estate of Ka Karding v. BIR | CTA EB 2143 (2022) | Applying for e-CAR requires full disclosure of all estate assets; partial declarations may constitute tax fraud. |
(These illustrate the limited evidentiary value of tax declarations and the primacy of title and proper estate-tax settlement.)
10. Frequently Asked Questions
| Question | Answer |
|---|---|
| Can I transfer the tax declaration while the title is still in the deceased’s name? | Technically yes for untitled property, but most Assessors require proof that estate taxes are paid and settlement is done. For titled land, RD action must come first. |
| Does the estate-tax amnesty waive transfer tax? | No. It only waives estate-tax penalties and interest (and reduces documentation). LGU transfer tax and RPT arrears remain payable. |
| How soon must heirs update the tax declaration? | No statutory deadline, but practical reasons—RPT billing, loan collateral, and avoidance of auction—dictate prompt action after the e-CAR is issued. |
| What if an heir keeps paying taxes but does not transfer the tax declaration? | Payment alone neither perfects ownership nor bars other heirs from asserting rights, but it prevents tax delinquency. |
| Can we keep the tax declaration in the name “Estate of the Late ___”? | Yes during co-ownership, but banks and buyers often require individual declarations when dealing with specific portions. |
11. Practical Checklist
- Gather civil documents: PSA-issued birth, marriage, death certificates.
- Secure TIN for the estate (if none).
- Compute net estate & estate tax; pay at BIR and secure e-CAR.
- Prepare & notarize EJS/partition (publish once a week for 3 consecutive weeks).
- Pay DST & transfer tax at the Treasurer’s Office.
- Register deed & e-CAR at RD; get new titles or annotations.
- File application at Assessor’s Office with full document set.
- Inspect, assess, & pay fees; claim new tax declaration(s).
- Keep copies (digital and hard) for future transactions.
12. Final Thoughts
Transferring a tax declaration to heirs is administrative, but it rests on substantial compliance with both tax and succession requirements. Treat the tax declaration as the tail, not the dog—it follows the proper settlement of the estate and the transfer (or annotation) of legal title. Observing the correct order—estate tax → RD registration → Assessor update—prevents costly back-tracking, penalties, and litigation.
This article is for general information only and is not a substitute for individualized legal advice. Consult the BIR, your local Assessor’s Office, or a Philippine lawyer for case-specific guidance.