BIR Ruling [DA-072-03]

March 11, 2003 BIR RULING [DA-072-03] Sec. 90 (B) (C) Atty. Ma. Cristina M.F. Villanueva 12/F East Tower, PSE Centre Exchange Road, Ortigas Center Pasig City M a d a m : This refers to your letter dated January 24, 2003 requesting, on behalf of the legal heirs of your late father, Casiano D. Villanueva , for an extension of thirty (30) days within which to file the estate tax return and pay the estate tax due thereon. It is represented that your late father, Casiano D. Villanueva, died on July 27, 2002; that you are in the process of gathering information and securing documents in respect of the properties owned by your father; and that in view thereof, you are requesting for a period of thirty (30) days within which to submit the required estate tax return and pay the estate tax due thereon. In reply thereto, please be informed that under Section 90(B) and (C) of the Tax Code of 1997, estate tax return is required to be filed within six (6) months from the decedent's death, and in meritorious cases, a reasonable extension not exceeding thirty (30) days for filing the return may be granted by the Commissioner of Internal Revenue. The payment of the estate tax or any part thereof shall be made upon the filing of the return or on such date as fixed if an extension is granted by the Commissioner, but in no case to exceed five (5) years in case the estate is settled through the courts, or two (2) years in case the estate is settled extrajudicially pursuant to Section 91(B) of the Tax Code of 1997. Based on the aforestated justifiable reason, your request for an extension of thirty (30) days counted from January 27, 2003, which is the last day for filing of the estate tax return of your late father, Casiano D. Villanueva, is hereby granted. Accordingly, the filing of the said estate tax return of the decedent is hereby extended up to February 27, 2003 pursuant to Section 90(C) of the Tax Code of 1997. In view of the foregoing, this Office has decided to forego the imposition of the surcharge and penalties on the estate tax due on the transmission of the estate of your late father, Casiano D. Villanueva, to his heirs. However, it shall be understood that the estate shall be liable for the corresponding interest that have accrued thereon up to the time of payment of the estate tax pursuant to Section 249 of the Tax Code of 1997. CaHAcT Very truly yours, Commissioner of Internal Revenue By: (SGD.) MILAGROS V. REGALADO Assistant Commissioner Legal Service