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Period of availment and coverage of Estate Tax Amnesty amended

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With the passage into law of Republic Act No. 11956, the period for availment of Estate Tax Amnesty has been extended until June 14, 2025.

To implement the said law, the BIR has issued Revenue Regulations (RR) No. 10-2023, which also expanded the coverage of Estate Tax Amnesty to include the estate of individuals who passed away on or before May 31, 2022, regardless of whether assessments had been issued or not, provided the estate taxes remained unpaid or had accrued as of the said date.

The amended regulations also outlines changes to key aspects of the tax amnesty filing and payment process. Per RR No. 10-2023, the Estate Tax Amnesty Return (ETAR) can be filed and paid electronically or manually, by the executor or administrator, legal heirs, transferees, or beneficiaries, within June 15, 2023 until June 14, 2025 at any Authorized Agent Bank (AAB); through Revenue Collection Officer (RCO) of any Revenue District Office (RDO); or authorized tax software providers. Installment payment is also now allowed within two (2) years from the statutory date of its payment without civil penalty and interest.

The said regulations also specify the necessary documents for the processing of applications for Estate Tax Amnesty. This includes the mandatory requirements, such as certified true copy of the Death Certificate, Taxpayer Identification Number (TIN) of decedent and heirs, and government-issued identification card of the executor/administrator of the estate. Specific requirements for real properties (if any) and personal properties, if applicable, are likewise specified in the regulations, together with other applicable requirements.

Proof of settlement of the estate, whether judicial or extra-judicial, need not accompany the ETAR if it is not yet available at the time of its filing and payment of taxes, but no electronic Certificate Authorizing Registration (eCAR) shall be issued unless such proof (such as Extra-Judicial Settlement of Estate or copy of the Court Order) is presented and submitted to the concerned RDO. One (1) eCAR shall be issued per real property, including any improvements, if any. For personal properties included in the estate, a separate eCAR will be issued.

Estates covered by the Estate Tax Amnesty, which have fully complied with all the requirements/conditions set forth in the regulations, including the payment of Estate Tax Amnesty, shall be immune from the payment of all Estate Taxes as well as any increments and additions thereto, arising from the failure to pay any and all Estate Taxes for the period ending May 31, 2022 and prior years, and from all appurtenant civil, criminal and administrative cases, and penalties under the 1997 Tax Code, as amended.

“With the issuance of Republic Act No. 11956 and its Implementing Rules and Regulations (RR No. 10-2023), we hope that more citizens will avail of the Estate Tax Amnesty considering that its deadline has been extended until June 14, 2025 and its coverage has been expanded,” said Commissioner Romeo D. Lumagui, Jr.

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