How to Transfer Land Title to Heirs (Extrajudicial Settlement Guide)
- DP Law
- 5 days ago
- 3 min read
Updated: 4 days ago
When a loved one passes away and leaves behind property, the question of inheritance quickly follows. In the Philippines, transferring a land title to the rightful heirs requires a legal process — often through extrajudicial settlement. If done correctly, it’s a straightforward way to divide and transfer property ownership without court proceedings.
In this guide, we'll explain how to legally transfer land title to heirs in the Philippines using an extrajudicial settlement, the documents you’ll need, how to handle taxes, and how to avoid disputes.
1. What is an Extrajudicial Settlement?
An Extrajudicial Settlement of Estate is a legal document that allows the heirs of a deceased person to agree on how to divide their inheritance without going to court, provided certain conditions are met:
The deceased left no will (intestate)
There is no legal dispute among the heirs
There are no debts or all debts have been settled
This method is cost-effective and faster than judicial proceedings.
2. Who Can Use Extrajudicial Settlement in the Philippines?
Under Philippine inheritance law, legal heirs include:
Surviving spouse
Legitimate, illegitimate, and adopted children
Parents or ascendants (if no children)
If the heirs agree on the division of inherited property, they may execute a notarized EJS (Extrajudicial Settlement)and proceed with the land title transfer.
In some cases, a Waiver of Rights may be signed by an heir who voluntarily gives up their share.
3. Prepare the Required Documents
Before executing the EJS, gather the following:
Certified True Copy of the land title
Latest Tax Declaration
Death Certificate of the deceased
Certificate of No Marriage (CENOMAR) (if relevant)
IDs of all heirs
Proof of relationship (birth/marriage certificates)
Estate tax computation and payment proof
Having these on hand will simplify the process of estate planning and transfer of ownership.
4. Draft and Notarize the Extrajudicial Settlement Document
You’ll need a lawyer to draft a legally sound EJS that includes:
Full names and signatures of all heirs
Property description
Agreement on how to divide the estate
Statement that there are no pending debts or liabilities
Acknowledgment of each heir’s legitime (legal minimum share)
Once the document is drafted, it must be:
Notarized by a licensed notary public
Published in a newspaper of general circulation for 3 consecutive weeks (required by law)
5. Pay the Estate Tax at the BIR
Before the title can be transferred, the estate tax must be paid at the Bureau of Internal Revenue (BIR).
Steps:
Submit BIR Form 1801 (Estate Tax Return)
Pay the tax based on the total net estate value
Submit supporting documents:
EJS
Death Certificate
Title and Tax Declaration
Proof of relationship
The BIR will then issue a Certificate Authorizing Registration (CAR) — a crucial requirement for land title transfer.
Note: Penalties and interest may apply if the estate tax is not paid within one year of death.
6. Pay the Transfer Tax at the Treasurer’s Office
After receiving the CAR, visit the Municipal or City Treasurer’s Office to pay the Transfer Tax.
Bring:
Notarized EJS
CAR from BIR
IDs of heirs
Transfer tax form
The Transfer Tax must be paid before you can process the title at the Registry of Deeds.
7. Transfer the Title at the Registry of Deeds
Finally, file the following at the Registry of Deeds where the property is located:
Notarized EJS
Original land title
CAR and Transfer Tax receipt
Valid IDs
The Registry will cancel the old title and issue a new Transfer Certificate of Title (TCT) in the name of the heirs or in the name of the designated recipient (if only one heir is assigned the property).
8. Update the Tax Declaration
After the title has been transferred, update the Tax Declaration at the Assessor’s Office.
Bring the new title, valid IDs, and the Transfer Tax receipt
The property will now reflect the heir’s name as the new taxpayer and owner
Common Issues in Transfer Land Titles to Heirs and How to Avoid Them
Heirs Dispute
Ensure all heirs sign the EJS and waive rights (if needed)
Incomplete Documents
Work with a lawyer to avoid delays
Missed Deadlines
Estate taxes must be filed within one year of death to avoid penalties
Consult DP Law for a Smooth Inheritance Process
Handling property inheritance can be sensitive and legally complex. At DP Law, we help families execute extrajudicial settlements, pay estate taxes, and complete land title transfers with confidence.
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