Ontario Probate Fee Calculator: Estimate Estate Administration Tax

If you are the estate trustee, one of the first practical questions is how much "probate fee" the court will want. In Ontario that charge is officially called the Estate Administration Tax, and it is worked out from a formula you can do yourself with a pencil.

This page walks through the formula, shows worked examples, and explains which assets go into the estate value and which stay out. Your own estate may have wrinkles, so treat the result as an estimate and confirm it before you file.

The rate: $0 on the first $50,000, then $15 per $1,000

For estate certificates applied for on or after January 1, 2020, Ontario charges no Estate Administration Tax on the first $50,000 of the estate's value. Above $50,000 the tax is $15 for every $1,000, or part of $1,000.

That works out to 1.5% of the value above $50,000, not $50 per $1,000.

Older rules were different. For certificates applied for before January 1, 2020, the tax was $5 for each $1,000 (or part) of the first $50,000 and $15 for each $1,000 (or part) above $50,000.

Calculate it in four steps

• Add up the date-of-death value of the assets that count toward the estate (see the next section).
• Subtract any mortgage or lien, but only from the real property it is registered against.
• Round the result up to the nearest $1,000.
• Subtract $50,000, then multiply the remaining thousands by $15.

Even when no tax is payable because the estate is worth $50,000 or less, the estate representative must still file an Estate Information Return if an estate certificate is issued.

Which assets count toward the estate value

The tax is based on the value of all assets the deceased owned at the time of death. Typical items include the following:

• Ontario real estate, less mortgages or liens on it.
• Bank accounts, including accounts at foreign banks.
• Investments.
• Vehicles and vessels, wherever located.
• Property held in another person's name.
• Business interests.
• Insurance paid to the estate.

Assets are valued at fair market value on the date of death. Real estate is valued at its appraised value on that date, even if it later sells for more or less. Your values must be supported by documents such as account statements or an appraiser's opinion, and a complex asset like a business may need a professional appraiser.

What is left out, and what you cannot deduct

Several kinds of property are not counted:

• Assets held jointly that automatically become the property of the other owner or owners on death.
• Registered Pension Plans, RRSPs, RRIFs and TFSAs that have a beneficiary designation or declaration. If there is none, they are included.
• Real estate located outside Ontario.
• Assets the deceased owned earlier but no longer owned at death, and Canada Pension Plan death benefits.

On the other side, deductions are narrow. Funeral expenses, legal fees, loans and interest, vehicle debt, credit card debt, lines of credit, unregistered loans and real estate commissions cannot be deducted from the estate value.

Some certificates are treated differently. For limited certificates, such as those limited to the assets covered by one will, or resealing cases, only the assets within that certificate's scope are counted, and certain property on a Reserve may be exempt. Some certificates, such as one for an estate trustee during litigation or for a succeeding estate trustee, require no tax or return at all.

Paying the tax and what to do next

The tax is paid as a deposit when the application is filed with the Superior Court of Justice, and the deposit becomes the tax once the certificate is issued. The estate pays it, not the estate representative personally. Payment is by certified cheque or bank draft payable to the Minister of Finance.

If you cannot pay at filing, you can ask a judge for an order to pay later under section 4(1) of the Estate Administration Tax Act, 1998. In some cases an applicant can pay on an estimated value that they swear or affirm, then file a sworn statement of the total value and pay any balance within six months of the undertaking.

After the certificate is issued, the Estate Information Return is due to the Ministry of Finance within 180 calendar days, and it must be filed even if the value is $0. If you later find more assets or learn the return was wrong, an amended return is due within 60 days of becoming aware, and any extra tax is then payable. A lawyer or accountant can help you confirm valuations before you file.

Frequently asked questions