Inventory and Costs: What is the Cost of a Judicial Inventory? And Extrajudicial? piva

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Probate is a compulsory process for dividing the estate among the heirs after the death of a loved one. This procedure can take place in two ways: judicial or extrajudicial. Each has different costs and advantages depending on the family situation and assets.

Difference between judicial and extrajudicial inventory

Judicial Inventory: When the inventory is made before a judge, who will monitor and coordinate the process and, at the end, approve the division of assets and issue the “formal de partilha”, the document needed to effectively transfer the assets to the heirs' names.

Necessary when there is
Disagreement between the heirs;
Heirs under the age of 18 or incapacitated;
A will left by the deceased.

Although more time-consuming, the judicial inventory allows for greater flexibility in the granting of free legal aid, making it possible to reduce some fees if the heirs' financial difficulties are proven.

Extrajudicial Inventory: Carried out at a notary's office and indicated for consensual situations between the heirs. This process is generally quicker and less costly, but requires a feasibility analysis.

Main Inventory Costs

Judicial Inventory

Procedural Costs: These are the amounts charged by the court to process the inventory and approve the division. They include the court fee for the award or approval of the partition and other procedural costs, which are progressive depending on the value of the estate, and may sometimes be exempt in certain states or in cases of gratuity granted by the court.
Causa Mortis and Donation Transfer Tax (ITCMD): This is a state tax payable on inheritance and, in São Paulo, the rate is 4%. However, other states, such as Paraná, apply rates of up to 8%. It is worth remembering that late payment of ITCMD generates fines, and each state has its own regulations. In São Paulo, for example, the fine is 10% after 60 days and 20% after 180 days of death.
Other Expenses: Depending on the estate, the judicial inventory may generate additional expenses with certificates, asset research, among others.
Legal fees: Hiring a lawyer is mandatory in any inventory. The amount charged by the professional can be calculated based on a percentage of the total estate, and varies according to the state, the complexity of the case and the lawyer's experience.

Out-of-court inventory costs

An out-of-court inventory, carried out at a notary's office, is generally quicker and may cost less, but it still has significant expenses:

Registry costs: Related to the issuance of certificates and a public inventory deed at a notary's office for the out-of-court process.
Causa Mortis Transmission and Donation Tax (ITCMD): As with the judicial inventory, ITCMD is also due here and must be paid before the division is concluded.
Other Expenses: Depending on the estate, the judicial inventory may also generate additional expenses with certificates, asset research, among others.
Legal fees: Required in both types of probate, with amounts determined by each professional.

Deadline and additional costs

It is important to open the inventory within 60 days of the death to avoid ITCMD fines, which can significantly increase the costs of the succession, especially in states like São Paulo, where the fine can reach 20% after 180 days.

Tips for Reducing Costs

Observe the legal deadline of 60 days: In every inventory, it is important to open the process within 60 days of the death, in order to avoid fines. In São Paulo, as mentioned, the fine for delay can be up to 20% of the ITCMD.
Consult a specialist lawyer for an assessment of the type of inventory: Depending on the complexity of the estate and the profile of the heirs, opting for an out-of-court inventory can be advantageous, especially when the process is consensual. However, in cases with many assets or in several locations, the judicial route may be more economical.
Requesting Free Justice: In a judicial probate, heirs who can prove they are unable to pay the costs can request free justice, exempting them from court fees. The judge can also allow the costs to be paid at the end, when the estate is shared.
ITCMD planning: Some states, such as São Paulo, allow the tax to be paid in installments. Thus, heirs can pay the tax in several installments, facilitating payment and financial planning.

Current Inventory Costs in São Paulo (TJSP)

In São Paulo, the court fees for submitting requests such as adjudication or homologation of partition in an inventory have a progressive value, calculated based on the total value of the estate inventoried. Below, I detail the fees based on the value of the assets:

“Monte-mor” up to R$ 50,000.00: 10 UFESPs
From R$ 50,001.00 to R$ 500,000.00: 100 UFESPs
From R$ 500,001.00 to R$ 2,000,000.00: 300 UFESPs
From R$ 2,000,001.00 to R$ 5,000,000.00: 1,000 UFESPs
Above R$ 5,000,000.00: 3,000 UFESPs

(For the financial year 2024, the value of the UFESP is R$ 35.36)

In addition, there is the expedition fee (Guia de Despesas do Fundo Especial de Despesas do Tribunal de Justiça - code 130-9), which is currently 1.925 UFESP, totaling R$68.09. This amount is needed to issue the formal de partilha - the final document to be registered at the real estate registry office.

These amounts do not include the ITCMD mentioned above and legal fees.

Inventory costs in Rio de Janeiro (TJRJ)

In the Rio de Janeiro Court of Justice, procedural costs follow a different structure:

Judicial Fee: Calculated as 5% of the main value of the inventory (field 41), plus 5% of the emoluments.
FUNPERJ: An additional fee of R$8.70, earmarked for the Court of Justice's Special Fund.
Preparation of the Share: 0.5% is charged on the amount to be apportioned, with a minimum of R$ 51.18 and a maximum of R$ 1,094.31.

Causa Mortis and Donation Transfer Tax (ITCMD)

ITCMD is a state tax levied on inheritances and donations. Its rate varies according to the state:

São Paulo: 4% on the value of the assets.
Paraná: Up to 8%.
Rio de Janeiro: The standard rate is 4%, but there are plans to increase this rate for higher estates.

The ITCMD must be paid before the inventory is ratified or adjudicated, and some states allow payment in installments, making it easier for the heirs.

As you can see, the probate process involves costs that vary according to the state and the value of the estate. Succession planning is an essential tool for ensuring your family's organization and peace of mind after your death. By planning the succession in advance, you can define how your assets will be distributed, avoiding additional costs and conflicts between heirs.

Through succession planning, you can use tools such as wills, donations and the creation of a family holding company.

It is essential to plan for these expenses, look for ways to reduce fees and consider hiring a specialized lawyer beforehand, who can advise you on the best options for your case in order to avoid conflicts, delays and financial surprises.

Still have questions about how to make an inventory? Contact us and we'll be happy to help you.