Transferring a Deceased Person's Car in Ontario: Executor Steps

A car is often one of the first assets an estate trustee has to deal with. It may be sitting in a driveway, still insured, and wanted by a family member. Moving it into the right name takes paperwork, and the documents you need depend on whether there was a will and how the car was owned.

This article walks through how a transfer to a beneficiary or a surviving joint owner generally works in Ontario, when retail sales tax does not apply, and the related tasks that usually come up at the same time. Details at ServiceOntario can change, so confirm the current steps before you go.

When a transfer is exempt from retail sales tax

A vehicle may be transferred to a beneficiary of the estate exempt from retail sales tax, as long as you provide the supporting estate documents. The documents differ depending on whether the deceased left a will.

If the car is being sold to someone outside the estate instead, how the tax rules apply depends on your situation, so it is worth checking with a lawyer or accountant before you proceed.

Which estate documents ServiceOntario needs

A Small Estate Certificate can be applied for if the estate is valued at up to $150,000. If you have one, it can serve as the estate document for the vehicle, together with the trustee letter.

Which of the following you need depends on your situation, so use this as a starting point rather than a fixed list.

• The will naming the estate trustee and the beneficiary, if there is one
• Certificate of Appointment or Small Estate Certificate, if one was issued
• Trustee letter with the VIN, year, make and model, where the documents above call for it
• A lawyer's letter, if there is no will and you are using that route instead of a trustee letter
• Death certificate or certified copy, if you are a legally married joint owner transferring the car on that basis
• Proof of Ontario vehicle insurance for the new owner

Cars owned jointly

If a vehicle is jointly registered to legally married spouses and one dies, the survivor can transfer it exempt from retail sales tax with only a death certificate or a certified copy.

The rule is stricter in every other joint-ownership case. That includes common-law spouses. The surviving owner must provide the estate documents to show they are the legal beneficiary before the vehicle can be transferred exempt from retail sales tax. If you are a common-law partner or co-owner, which documents you can obtain depends on your situation, so it is worth getting advice early.

Insurance, registration and plates

When a vehicle is registered to a new owner at ServiceOntario, proof of Ontario vehicle insurance is required. Arrange the insurance before you attend, and tell the insurer about the death in the meantime.

Licence plates may be transferred only between spouses, parents and children, using a plate transfer declaration. If the beneficiary is, for example, a sibling or friend, the plates generally cannot move with the car.

Other steps, such as whether a safety standards certificate is needed, depend on the situation. Confirm them with ServiceOntario before booking.

Related tasks and what to do next

For Estate Administration Tax, vehicles and vessels are included in the estate's value whether they are in or outside Ontario. Note the car's value when you prepare the estate's figures.

• Notify ServiceOntario to cancel the deceased's driver's licence, accessible parking permit, OHIP card and outdoors card.
• Return a deceased person's accessible parking permit to ServiceOntario within 30 days.
• Claim a driver's licence fee refund at a ServiceOntario centre using the Application for Refund of Driver's Licence Fee.

Next, gather the will or certificate and the vehicle details, along with a death certificate if your situation calls for one, confirm the requirements with ServiceOntario, and speak with a lawyer if ownership of the car is disputed or unclear.

Frequently asked questions