The Next Hurdle: A Step-by-Step Guide to Getting Your BIR eCAR for Inherited Land

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  You’ve finally gathered the siblings, signed the Extrajudicial Settlement (EJS), and figured out the newspaper publication details. You might think the hardest part is behind you, but there is one massive gatekeeper you still have to pass before the property can officially be transferred to your names: the Bureau of Internal Revenue (BIR) . To change the name on a land title, the Registry of Deeds will strictly demand an eCAR (Electronic Certificate Authorizing Registration) . Think of the eCAR as your official "tax clearance" proving that the government has received its fair share of estate taxes. If your documents are disorganized, a single trip to your Revenue District Office (RDO) can quickly turn into a frustrating circle of rejections. Here is exactly how to navigate the BIR eCAR process without losing your mind—or your budget. 📋 The eCAR Document Checklist Before you step foot inside your specific RDO, make sure you have these core documents compiled neatly in a fol...
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PROPERTIES NOT INCLUDED IN EXTRA JUDICIAL SETTLEMENT OF ESTATE- WHAT TO DO

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Hello everyone! I wish you the best of everything despite all that we were into these past years/months 🙏❤️.

I would be sharing again an experience I encountered few days ago with regard to the Extra Judicial Settlement of Estate I am currently working on.

First, I will bring you back to November 2021, when I posted the work processes I did for an Extra Judicial Settlement of Estate under TRAIN LAW. Here is the link to that, to help you remember and for easy reference.


EJS 1st filing


Please note, that was a completed transaction with BIR. The eCAR was already released to us. Remember also that under TRAIN LAW, the Estate of the Decedent is entitled to a 5Million standard deduction.

Then.. the heirs of the Decedent realized there are still real estate properties that they failed to include in that Extra Judicial Settlement of Estate mentioned above. These properties should also be divided among the heirs and ownership passed on to them as well.

Getting the advise of the BIR examiner, we were told that in this case, the 5Million standard deduction of the estate is no longer applicable, even if the total value of the property won't add up to 5Million. He further stated that the 5Million standard deduction can be used only for the first time you filed.  Hence, estate tax will be computed again for this second filing, plus penalties and interests due to late filing.  His computation was so much higher, many, many times higher due to 25% surcharge, interest, and compromised penalty.

Shocking! Good thing that he advised further. In cases like this, we should make the second Extra Judicial Settlement of Estate an ADDENDUM to the first Extra Judicial Settlement of Estate document.

We were advised to go back to the lawyer who notarized the second Extra Judicial Settlement of Estate, for him to sign it as an ADDENDUM to the first one. So on the 1st page of the document, we put this on the top right portion:

"ADDENDUM TO EXTRA JUDICIAL SETTLEMENT OF ESTATE OF------dated ------- under Doc No.---, Page No.----, Book no.,---- Series of -------"

 Then, the lawyer signed that ADDENDUM portion.

Since we are still gathering other BIR requirements, we have not yet submitted the documents. We will update you all, once it will be submitted for processing.

Hope I am able to give you some understanding for this particular scenario.

Good luck all ! Till next update. God bless everyone!

UPDATE 7/12/2022t

We had submitted the documents as mentioned above to BIR, however, the Estate was charged again P5,000 as compromised penalty. The previous BIR examiner who processed the first filing was not willing to process the 2nd filing and suggested instead to process it as new but as an ADDENDUM to the first one so that only compromised penalty will be charged.

But from what I understand based on explanation from other examiner, the Estate won't be charged anymore if the 2nd filing will be processed as part of the first filing. But further said, it would take longer and tedious because previous records should be retrieved by the examiner who handled the first filing. 

So, we submitted the ADDENDUM for 2nd filing yesterday, no timeline given. The receiving personnel just told me, they will send a text if Ecar is already for release.

This is all for today, thank you for following my real estate transactions journey😀

Stay safe everyone❤️

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