VOTING unanimously, the Senate approved Monday on third and final reading the bill extending the estate tax amnesty, which lawmakers from both chambers and the Executive had championed.
Senate Bill No. 2219 (SBN 2219), extending the period of Availment of Estate Tax Amnesty, amends the Estate Tax Amnesty Act. It was seen as necessary in light of the findings that many ordinary people are unable to comply with estate tax payments in a timely manner in view of the numerous requirements that pose a burden to them.
Approved on third reading in the Senate, the roll call vote was 24 yes votes, zero objections and zero abstentions.
“Narinig po natin ang panawagan ng ating mga taxpayers, at ito na po ang ating sagot sa kanila [We heard the cry of our taxpayers, and this is our response to them],” said Senate President Juan Miguel Zubiri, who coauthored and cosponsored the bill, alongside the chief of the Senate Committee on Ways and Means, Sen. Win Gatchalian.
The bill extends the period of availment of estate tax amnesty by two years, until June 14, 2025. This is the second extension of the amnesty, which was first extended from 2021 to 2023.
“Owing to the challenges of the pandemic, there are still people who have not been able to avail of the amnesty even with the first extension. We passed this second extension for them,” the Senate President said, partly in Filipino.
“But we are not only extending availment window,” the Senate leader added: “we are also expanding on the estates covered by the amnesty. By doing so, we hope that we can assuage the grief of the families of those who fell during the long pandemic night.”
While House Bill No. 7909 expands the amnesty coverage for the estates of individuals who died until December 31, 2021, the Senate version extends the coverage until May 31, 2022.
“Alongside the extension, the Senate bill also addresses issues with the ease of paying taxes, by giving a clear list of requirements to be submitted to the Bureau of Internal Revenue, allowing for easier filing of tax returns, and allowing for an installment option for payments,” he added.
Electric or manual
Electric or manual filing of estate tax amnesty returns, whichever is more convenient for the taxpayer, are allowed for under Senate Bill 2219, as well as the payment of taxes with any authorized agent bank, revenue district office, or authorized tax software provider.
The bill also allows for payment by installment within two years from the statutory date, without civil penalty and interest.
“Sa ganitong paraan, hindi na po masyadong mabigat sa ating mga kababayan ang pagbayad ng [This way, it won’t be as burdensome for our people to pay] estate taxes under the amnesty program,” he said.
“We want to make tax payments as easy and painless as possible for our people, so we can see healthier tax collections, that will redound to the benefit of the country as well.”