Bill extending estate tax amnesty makes it to Senate plenary
Sen. Win Gatchalian on Friday, May 19, 2023, leads the Committee on Ways and Means’ hearing on various proposals extending the period of availing the estate tax amnesty. (Voltaire F. Domingo / Senate PRIB)
MANILA, Philippines — Senator Sherwin Gatchalian on Monday elevated the bill extending the deadline to avail of the estate tax amnesty to the Senate floor – only two days after the chamber’s ways and means committee discussed it for the first time.
Gatchalian sponsored the bill on the Senate floor, as he argued that the looming June 14 deadline to avail of the estate tax amnesty would strip people with no sufficient financial capacity of the opportunity to pay their dues.
“This proposed extension delves into the depths of compassion and empathy, reflecting our unwavering dedication to those individuals who, due to a myriad of circumstances, were unable to fulfill their estate tax obligations during the previous extension,” the lawmaker said.
“It is high time to recognize the struggles of our less privileged kababayans and provide them with the necessary support and relief they desperately seek.”
If passed into law, the new deadline for the estate tax amnesty program will be set on June 14, 2025.
Article continues after this advertisement“This extension is vital in ensuring that those who have encountered challenges in meeting the requirements, particularly our low-income constituents, will finally have the opportunity to avail themselves of the estate tax amnesty they deserve,” Gatchalian argued.
Article continues after this advertisementHe noted that installment payments over a two-year period from the statutory due date of the estate tax will likewise be allowed under the bill.
“This opportunity will be provided without civil penalties and interest, ensuring that taxpayers with limited available cash in the estate can fulfill their obligations in a more manageable and financially sustainable manner,” the senator explained.
Also among the other salient features of the proposed measure are:
- Expansion of the coverage of the estate tax amnesty program to include the estates of decedents who died on or before Dec. 31, 2021
- Enumeration of the list of documents required by the Bureau of Internal Revenue from those availing the tax amnesty program, and explicit exclusion of the submission of proof of settlement of the estate, whether judicial or extrajudicial
- Institutionalization of the electronic filing and payment of estate tax
With some pressure from members of the House of Representatives, Gatchalian on Friday said there was an urgent need to pass the proposed estate tax amnesty extension before Congress goes on sine die adjournment in early June.
He also called on President Ferdinand Marcos Jr. to certify the bill as urgent to allow the Senate to depart from its usual rules and timeframe in deliberating proposed laws.
Last Monday, the lower chamber approved its version of the bill on the third and final reading.
