How much is inheritance tax in the Philippines?

Since the TRAIN law took effect in 2018, the Philippines applies a single flat estate tax of 6% on the net taxable estate. There are no tiered brackets — every estate above the deductions is taxed at the same 6% rate, paid by the estate before the assets are distributed to heirs.

What is the standard deduction?

Every estate of a Philippine resident or citizen gets a flat PHP 5,000,000 standard deduction with no need to substantiate it. This is subtracted from the gross estate (after debts and other allowable deductions) before the 6% rate is applied, so estates worth PHP 5M or less typically owe no estate tax.

Is the family home exempt?

The family home is deductible up to PHP 10,000,000 of its current fair market value. If the home is worth more, only the first PHP 10M is deducted and the excess remains in the taxable estate. The deduction requires the home to have been the decedent's actual residence at the time of death.

When must estate tax be paid?

The estate tax return must be filed and the tax paid within one year of the date of death, though extensions and instalment payments can be granted by the BIR. The certificate authorising registration, needed to transfer titled property to heirs, is only released once the estate tax is settled.

Does this calculator store my data?

No. All figures are computed locally in your browser and nothing is uploaded, so you can estimate the estate tax privately.

Philippines Inheritance Tax Calculator

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This Philippines inheritance tax calculator estimates the estate tax due on death under the post-TRAIN regime: a flat 6% applied to the net taxable estate after the PHP 5,000,000 standard deduction, the family-home deduction, debts, and other allowable items.

How it works

The Philippines taxes the estate, not each heir individually. The calculation is:

Start with the gross estate — all the decedent’s property.
Subtract debts and expenses, the family-home deduction (up to PHP 10,000,000), other allowable deductions, and the flat PHP 5,000,000 standard deduction.
The result is the net taxable estate.
Estate tax = 6% × net taxable estate. There are no brackets — one flat rate applies to the whole net estate.

If deductions exceed the gross estate, the net estate is zero and no tax is due.

Example

A gross estate of PHP 20,000,000 with PHP 2,000,000 of debts, a family home worth PHP 8,000,000 (fully deductible), and the PHP 5,000,000 standard deduction has a net taxable estate of 20,000,000 − 2,000,000 − 8,000,000 − 5,000,000 = PHP 5,000,000. The estate tax is 6% × 5,000,000 = PHP 300,000.

Notes

The family-home deduction is capped at PHP 10M of fair market value and requires it to have been the decedent’s actual residence. Non-resident aliens get a smaller standard deduction (PHP 500,000) and only Philippine-situated property is taxed. The return is due within one year of death, with BIR-approved extensions possible. This tool is an estimate, not formal tax advice.