Costa Rica (CR)
Costa Rica is Central America's most stable democracy — a small, lush republic that abolished its army in 1948 and instead invested in education, healthcare, and the environment.
Estate & Inheritance in Costa Rica
Wills, intestacy, inheritance tax, and cross-border estate planning for expats.
Costa Rica's inheritance legal system is governed primarily by the Código Civil (Book III — Succession Law, Articles 520–1065) and the Código de Familia. For expats with Costa Rican assets, the key issues are: (1) Costa Rican intestacy law may not match your assumptions; (2) close relatives have forced heirship rights (legítima); (3) Costa Rica has no EU Succession Regulation equivalent — conflict-of-laws questions must be addressed in a carefully drafted will; (4) property held through a Costa Rican corporation (SA/SRL) passes via corporate shares, which can simplify succession but has its own tax implications; (5) inheritance tax (Impuesto sobre Sucesiones y Donaciones) applies at progressive rates up to 10% depending on the relationship between deceased and heir. A Costa Rican will (testamento) or properly registered foreign will is strongly recommended for any expat with Costa Rican assets.
Intestacy — What Happens Without a Will
If you die without a valid will in Costa Rica, the Código Civil's intestate succession rules apply to Costa Rican-located assets. Order of succession: (1) Descendants (children and their descendants) — they inherit in equal shares. If you are married, the surviving spouse inherits a usufruct (right of use) over the marital home and household goods during their lifetime; the capital passes to children. (2) Surviving spouse (in the absence of descendants): inherits the entire estate. (3) Ascendants (parents, then grandparents): inherit if no descendants or spouse. (4) Siblings and their descendants: inherit if no closer relatives. (5) Collateral relatives up to the third degree. (6) The Costa Rican state inherits in the absence of qualifying relatives. Unmarried partners receive NOTHING under Costa Rican intestacy law — only a valid will can protect an unmarried partner. Same-sex married couples have equal inheritance rights since 2020. Stepchildren are not automatically included in intestate succession — only legally adopted children have the same rights as biological children.
Types of Valid Will
Open notarial will
Testamento abierto notarialThe most common and recommended form of will in Costa Rica. Dictated to or drafted before a licensed Costa Rican notary in the presence of 3 witnesses. The notary reads the will aloud, the testator confirms it, and all parties sign. The notary files the original with the Archivo Nacional (National Archives) — Costa Rica's central will repository — and provides the testator with a certified copy.
Legally valid and automatically registered with the Archivo Nacional. Universally recognised by Costa Rican courts, banks, and the Registro Nacional. Survives the testator's death without any further action required — the Archivo Nacional is searched as part of the succession process.
Recommended for all expats with Costa Rican real estate, bank accounts, or business interests. The notary can advise on conflict-of-laws rules for international estates and Legítima (forced heirship) implications.
Closed/secret will
Testamento cerradoWritten by the testator in private, sealed in an envelope, and presented to a notary with 3 witnesses. The notary records the presentation without knowing the content. The sealed envelope is deposited with the Archivo Nacional. The content is only revealed upon the testator's death.
Legally valid if the formal requirements are met. More complex to contest than an open will. The Archivo Nacional records the existence but not the content of the will.
Less commonly used than the open will. Risk: if the sealed envelope is lost or the formal presentation requirements are not met precisely, the will may be invalid.
Holographic will
Testamento ológrafoEntirely handwritten, dated, and signed by the testator in their own handwriting. No notary or witnesses are required. Must be entirely in the testator's handwriting — no typewritten or computer-printed sections. Must be dated with day, month, year, and place. Costa Rica does not have an automatic holographic will registration system equivalent to Germany's Testamentsregister.
Legally valid under Article 571 of the Código Civil if the handwriting and signature requirements are met. However, it must be presented to a court (Juzgado de Familia) for authentication (autenticación judicial) after the testator's death, which can take months and creates uncertainty. Risk of not being found.
Not recommended for expats with significant Costa Rican assets — the uncertainty and authentication process makes it inferior to a notarial will. If you write one: keep the original in a clearly marked location and inform a trusted person.
Foreign will with apostille and translation
Testamento extranjero legalizadoA will executed in your home country according to your home country's laws (e.g. UK will, US state will, German notarial will) — apostilled and accompanied by a CTICR-certified sworn Spanish translation — may be recognised in Costa Rica for Costa Rican assets under international private law principles.
Potentially valid for Costa Rican assets if it meets both home-country formal requirements and Costa Rican conflict-of-laws acceptance. However, validity is not guaranteed — a Costa Rican court must accept the foreign will. A parallel Costa Rican will for Costa Rican-located assets is strongly recommended to avoid uncertainty and probate delays.
For expats with assets in multiple countries: consider maintaining both a home-country will (for assets in the home country) and a Costa Rican notarial will (specifically for Costa Rican assets). Coordinate the two to avoid conflicts — both wills should explicitly state which assets and jurisdiction they govern.
Forced Heirship
Costa Rica's Código Civil establishes a legítima (forced heirship) system, protecting certain close relatives who cannot be fully disinherited. The legítima represents the minimum share of the estate that must pass to protected heirs. Protected heirs and their shares: (1) Children (hijos): the "legítima objetiva" entitles each child to a proportional share of 50% of the estate. A testator can freely dispose of the remaining 50% (cuota disponible). Children of the deceased always take their share. (2) Parents (ascendientes): entitled to a legítima when the deceased has no children or spouse — the share is 50% of what they would receive under intestacy. A child may be excluded from the legítima only for extremely serious causes explicitly listed in Article 604 of the Código Civil — such as attempts on the testator's life or abandonment in need. Unmarried partners have no legítima rights. Same-sex spouses have equal legítima rights to opposite-sex spouses since 2020.
EU Succession Regulation (Brussels IV)
The EU Succession Regulation (EU No. 650/2012, "Brussels IV") does not apply to Costa Rica — Costa Rica is not an EU member state, and the regulation only governs succession law as between EU member states and for EU-resident testators. Expats moving from EU countries to Costa Rica should note that Brussels IV provides an election option (choice of home-country law) that only covers their EU-located assets — the EU election does not extend to Costa Rican assets. For Costa Rican assets, Costa Rican private international law applies. Costa Rican courts will typically apply the law of the country where the asset is located (lex situs) for real property, and may apply either the nationality or domicile rule for movable assets depending on treaties and precedent. Action: include a clear clause in your Costa Rican will stating which law governs which assets, and coordinate with an attorney in your home country.
Inheritance Tax
Costa Rica levies an Impuesto sobre Sucesiones y Donaciones (Inheritance and Gift Tax) on the beneficiary, not the estate. The tax applies to all Costa Rican-located assets inherited by any beneficiary, and to assets inherited from Costa Rican residents wherever located. The tax rate depends on the relationship between the deceased and the heir and the value of the inheritance. Costa Rica has no double-inheritance-tax treaty with most countries — verify whether your home country will also levy inheritance or estate tax on Costa Rican assets.
| Relationship | Tax-Free Allowance | Tax Rate (above allowance) |
|---|---|---|
| Spouse / registered partner | ₡6,000,000 exempt (approximately USD $11,500) | 1% on amounts above the exemption up to ₡15M; 2% up to ₡30M; 3% up to ₡45M; 4% above ₡45M (progressive scale) |
| Children and grandchildren (descendants) | ₡6,000,000 exempt per heir | 1% progressive up to 4% — same scale as spouse; children each entitled to their legítima share free of inheritance tax on the exempt amount |
| Parents, siblings, and other family | ₡3,000,000 exempt | 5% on amounts above the exemption up to ₡15M; 6% up to ₡30M; 7% above ₡30M |
| Non-relatives (friends, unmarried partner without will, unrelated beneficiaries) | ₡1,500,000 exempt | 8% on amounts above exemption up to ₡15M; 9% up to ₡30M; 10% above ₡30M (maximum rate) |
Inheritance tax must be declared and paid within 3 months of the death at the Hacienda (Ministerio de Hacienda) regional office. Late payment incurs interest (tasa básica pasiva + 3%). The primary residence (casa de habitación) inherited by a spouse or children who continue to occupy it is partially exempt — verify the current exemption amount with a tax lawyer. Property held in a Costa Rican corporation (SA/SRL) passes via corporate shares — the inheritance tax applies to the value of the shares (which should be valued at the underlying property/asset value). Professional advice is essential for estates above ₡30,000,000 (approximately USD $57,000).
Cross-Border & Multi-Country Estates
Expats with assets in multiple countries face the most complex estate planning challenges. Key issues: (1) A Costa Rican notarial will is not automatically enforceable in the UK, USA, Canada, or EU countries — each jurisdiction has its own probate or succession process. Obtain legal advice in each country where you hold significant assets. (2) Costa Rica's inheritance tax applies to Costa Rican-located assets regardless of the beneficiary's residency; it also applies to all assets of a Costa Rican tax resident who dies. (3) Potential double taxation: if your home country also levies estate or inheritance tax on Costa Rican assets, you may face double taxation — Costa Rica has very few double inheritance tax treaties. Verify your specific situation with a cross-border estate planning attorney. (4) Property held in a Costa Rican corporation (SA or SRL): corporate shares pass under the law governing the corporation (Costa Rican law) — this can simplify succession for foreign heirs compared to probating real estate directly. (5) US citizens must report foreign inheritances of USD $100,000+ on IRS Form 3520 and may owe US estate tax on worldwide assets above the federal exemption.
Certificate of Inheritance
The certificado de adjudicación or auto de adjudicación (inheritance certificate/probate order) is issued by a Juzgado de Familia (Family Court) in the judicial circuit where the deceased was last domiciled. This document is required to access deceased persons' Costa Rican bank accounts, transfer real property, and access investment accounts. Required documents: death certificate (apostilled if foreign — with CTICR translation), existing will (if any, registered with Archivo Nacional), evidence of family relationships (birth and marriage certificates), inventory of Costa Rican assets, and lawyer representation. Timeline: 3–12 months for uncomplicated estates with a clear will; 12–36 months for contested estates or complex international situations. Cost: court fees (based on estate value) + lawyer fees (typically USD $1,500–$5,000 depending on complexity). If the deceased held property through a Costa Rican corporation: corporate share transfer is handled through the corporate records and Registro Nacional — may be faster than probate for real estate.
Will Registration
The Archivo Nacional de Costa Rica (archivonacional.go.cr) maintains Costa Rica's central registry of notarial wills (testamentos abiertos). Notarial wills are automatically filed by the notary at the time of execution. The Archivo Nacional is consulted during the succession process — failure to register means the will may not be found. Holographic wills are not automatically registered — keep the original in a clearly marked, safe location and inform a trusted person of its existence. For expats with assets in both Costa Rica and their home country: register your Costa Rican will with the Archivo Nacional AND ensure your home-country will is registered or stored with your home-country estate planning attorney. Living will (Directriz Médica Anticipada): Costa Rica does not currently have a formalised equivalent to Germany's Patientenverfügung, but a notarised medical directive (directriz médica anticipada or poder notarial para decisiones médicas) is legally recognised and should be prepared alongside a will for any expat planning long-term residence.
Living Will & Healthcare Power of Attorney
Costa Rica does not have a specific statutory framework for living wills (directrices médicas anticipadas) equivalent to Germany's Patientenverfügung, but medical directives prepared before a notary are recognised as expressions of the patient's autonomous will under the Ley General de Salud and constitutional privacy rights. A notarised medical power of attorney (poder notarial especial para asuntos médicos) designating a trusted person to make healthcare decisions on your behalf is the most reliable mechanism. Prepare this document alongside your will — it is particularly important for expats whose family members may be abroad and unable to communicate medical wishes quickly in an emergency. Cost: USD $100–$300 at any licensed Costa Rican notary. Keep copies accessible: one with your lawyer, one at home in a visible location, one with the designated healthcare decision-maker.
Useful Links
Estate & Inheritance
Unlock the complete Estate & Inheritance guide for Costa Rica — including every detail, document, tip and link you need.
Become a SupporterSupport the guide on Ko-fi · Unlocks every premium section, everywhere