Erratum: On the 5th paragraph, we corrected May 31, 2023 to May 31, 2022.
Finance Secretary Benjamin E. Diokno welcomed the Senate’s approval of Senate Bill No. 2219 extending the period of availment of the estate tax amnesty until June 14, 2025.
“The Department of Finance welcomes the renewed extension of the estate tax amnesty period. This will allow errant taxpayers to settle their estate tax liabilities affordably, enable the government to collect additional revenues, and strengthen tax compliance,” Finance Secretary Benjamin E. Diokno said.
Senate Bill No. 2219 was passed unanimously on third reading on May 29, 2023 with 24 affirmative votes and no negative votes or abstentions. It is expected to be signed into law by the President before the second State of the Nation Address (SONA) on July 24, 2023.
The bill further extends the availment period of the estate tax amnesty for another two (2) years or until June 14, 2025, past the original expiration of June 14, 2023.
Additionally, the measure amends the original law to also cover the unsettled estates of decedents who died on or before May 31, 2022.
“The timely enactment of this measure is crucial, as it will provide much-needed relief to individuals and families facing extraordinary circumstances, while supporting the national government’s efforts to spur development by incentivizing the regularization of assets,” Secretary Diokno added.
The bill also allows those who avail of the amnesty program to file estate tax returns electronically or manually. Taxpayers may settle the tax due through any authorized agent bank, revenue district office, or authorized tax software provider.
Furthermore, the bill streamlines documentary requirements that should be submitted to the Bureau of Internal Revenue (BIR) and allows payment of outstanding liabilities in two-year installments without civil penalty or interest.
From the enactment of the Tax Amnesty Law in 2019 until March 31, 2023, the national government collected PHP 7.41 billion from 133,860 beneficiaries who availed of the estate tax amnesty.
