Every week I speak with families who have just lost a parent and are hearing the word “probate” for the first time — usually from a bank teller who has just frozen an account. Probate is not a punishment and it is not a tax grab; it is simply the Ontario Superior Court of Justice confirming who has legal authority to deal with a deceased person’s property. Understanding how it works — and what it costs — removes most of the fear from the process.
What probate actually is in Ontario
Ontario retired the old terminology years ago. What most people call “probate” is formally an application for a Certificate of Appointment of Estate Trustee, made to the Superior Court of Justice under the Estates Act and Rules 74–75 of the Rules of Civil Procedure. The certificate either confirms the authority of the estate trustee named in the will (“with a Will”) or appoints someone — usually the spouse or next of kin — where there is no will (“without a Will”). Ontario also formally says “estate trustee” rather than executor or administrator, though everyone still uses the older words in conversation.
When probate is required — and when it isn’t
You will almost always need a Certificate of Appointment when the deceased owned real estate in their own name that must be transferred or sold, when a financial institution insists on it (banks have full discretion and are never obliged to waive probate, even for small balances), when there is no will, or when there is any dispute about the will or the trustee. A common misconception is that a small estate, a single beneficiary, or family harmony lets you skip probate — none of those things bind a bank or the land registry.
On the other side of the ledger, several categories of assets pass entirely outside the estate: jointly held property with a true right of survivorship, and registered accounts or life insurance with a named beneficiary (RRSPs, RRIFs, TFSAs, pensions). One caution from the Supreme Court of Canada’s decision in Pecore: a joint account between a parent and an adult child is presumed to be held in trust for the estate, not a gift — joint accounts are not an automatic probate shortcut. Ontario real estate can also occasionally transfer without probate under the narrow “first dealings” exemption, which I cover in detail in my guide to selling estate property.
What probate costs: the Estate Administration Tax
Ontario’s Estate Administration Tax (EAT) is far more modest than most families fear. Under the Estate Administration Tax Act, 1998, the first $50,000 of estate value is exempt, and the balance is taxed at $15 per $1,000 — roughly 1.5%. A $240,000 estate pays $2,850. A $1,000,000 estate pays $14,250. The tax is paid as a deposit when the application is filed, and where exact values are not yet known, the estate can file on an estimated value with an undertaking to correct it within six months.
What counts toward the value? Everything that flows through the certificate: Ontario real estate (net of registered mortgages on that property), bank and investment accounts, vehicles. What doesn’t count: assets with designated beneficiaries, true survivorship assets, and real estate outside Ontario. Note that ordinary debts — credit cards, even funeral costs — do not reduce the taxable value; only encumbrances registered against Ontario real property do.
The small estate route: $150,000 or less
Since 2021, estates valued at $150,000 or less can use the simplified small estate process under Rule 74.1. The forms are shorter, a bond is rarely required, and court processing is faster. Two catches: beneficiaries must be given 30 days’ notice before filing, and the resulting Small Estate Certificate only covers the assets actually listed in the application. EAT still applies to value between $50,001 and $150,000.
How long it takes — honest numbers
The province’s stated target is to process a complete regular application within about 15 business days, and small estate applications in about five. Reality varies enormously by courthouse. Smaller centres can turn applications around in weeks; Toronto has historically run four to six weeks and has stretched to several months during backlog periods. Build that uncertainty into every downstream plan — especially where a mortgage payout deadline or a firm sale closing is waiting on the certificate. The full administration of a typical estate — probate, tax filings, debt payment, distribution — usually takes eight to twelve months, which is why the courts speak of the “executor’s year.”
After the certificate: the filing everyone forgets
Within 180 calendar days of the certificate being issued, the estate trustee must file an Estate Information Return with the Ontario Ministry of Finance — even if no tax was payable. Missing it exposes the trustee personally. The other habitual oversights: obtaining a CRA clearance certificate before final distribution, and keeping estate accounts in a form that could survive a court review.
Frequently asked questions
How much is probate tax in Ontario?
Nothing on the first $50,000 and $15 per $1,000 above that — about 1.5%. A $500,000 estate pays roughly $6,750.
Do I need probate to sell my parent’s house?
If the house was solely in their name, almost always yes — the land registry will not accept a transfer without the certificate, unless the rare first-dealings exemption applies. You can list the property before probate issues, but you cannot close.
Does a will avoid probate?
No. A will determines who applies and who inherits, but the certificate is what proves authority to banks and the land registry. Planning tools like beneficiary designations, joint ownership and multiple wills reduce what passes through probate — each with legal risks worth professional advice.
What happens if there is no will?
Someone — priority goes to the spouse and next of kin resident in Ontario — applies for a Certificate of Appointment without a Will, a bond may be required, and the estate is distributed under the intestacy rules of the Succession Law Reform Act.
Who pays the Estate Administration Tax?
The estate does. Banks will often issue a draft from the deceased’s own account payable to the Minister of Finance; otherwise trustees or beneficiaries front the deposit and are reimbursed. Estates that are house-rich and cash-poor have financing options — the subject of another guide in this series.
The bottom line
Probate in Ontario is a process, not a crisis: roughly 1.5% in tax above the first $50,000, weeks to a few months of court time, and a defined checklist afterward. Where estates get into genuine trouble is at the intersections — a mortgage coming due before the certificate arrives, a vacant house with lapsing insurance, or a dispute that freezes the application entirely. Those intersections are exactly where experienced, practical help earns its keep.
Gurpinder Gaheer, BA (Hons), MBA, is a dual-licensed real estate broker and mortgage broker serving families, estate trustees and their advisors across Ontario. His practice includes estate and probate property sales, estate financing solutions, and acting as a neutral professional in contested estate matters. If your family is dealing with an estate where real property is at stake, you can reach him through gaheer.com/.
This article is general information, not legal, tax or financial advice. Estate matters are highly fact-specific — always consult a qualified Ontario estates lawyer and tax professional about your own situation.