Senate bill seeks estate tax amnesty extension to 2028
Sen. Juan Miguel Zubiri has filed in the Senate another bill seeking to extend the estate tax amnesty period to Dec. 31, 2028.
Senate Bill No. 1865, or an Act Further Extending the Period of Availment of the Estate Tax Amnesty, was filed on Wednesday to extend for a third time the deadline for estate tax settlement, in order to ease the financial burden of heirs of property owners who have died.
The most recent amendment to the Estate Tax Amnesty Act, or Republic Act No. 11213, set the deadline for settlements on June 14, 2025, which had already lapsed.
“Despite the government’s good-faith efforts, a significant number of Filipino families, particularly those from low- and middle-income sectors still continue to face serious obstacles in regularizing inherited properties,” according to Zubiri’s bill.
The bill also seeks to expand the coverage of the amnesty collection to the descendants of those who died before Dec. 31, 2024, instead of before May 31, 2022.
Under the estate tax amnesty law, the government collects 6 percent of a deceased person’s estate before it is transferred to the heirs.
In his bill, Zubiri noted that despite the two previous deadline extensions, those facing financial constraints still struggle to pay for the estate tax especially after penalties, and interests incurred when they fail to meet the settlement deadline.
According to the Tax Code, those who fail to settle the estate tax on time may have to pay a 25-percent penalty for late payment, a 50-percent penalty for willful neglect or fraudulent returns, and an interest of 12 percent annually.
