BIR Ruling [DA-190-02]

October 23, 2002 BIR RULING [DA-190-02] Sec. 90 (B) & (C) DA 260-2000 6-9-2000 Romulo Mabanta Buenaventura Sayoc & De Los Angeles 30th Floor, Citibank Tower, Citibank Plaza 8741 Paseo de Roxas, Makati City Attention: Atty. Romeo M. Mendoza, Jr. Gentlemen : This refers to your letter dated September 24, 2001 requesting, on behalf of the estate and legal heirs of the late Lourdes F. Mabanta, for an extension of thirty (30) days counted from September 25, 2001 within which to file the estate tax return and pay the estate taxes due thereon. It is represented that the late Lourdes F. Mabanta died on March 29, 2001; and that her heirs are still in the process of locating properties of which she may have an interest, hence, this request for an extension of thirty (30) days within which to file the required estate tax return. 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. In view of the aforestated valid and justifiable reason, your request for an extension of thirty (30) days counted from September 25, 2001, which is the last day for filing of the estate tax return of the late Lourdes F. Mabanta is hereby granted. Accordingly, the filing of the said estate tax return of the decedent is hereby extended up to October 24, 2001 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 the late Lourdes F. Mabanta. However, it shall be understood that the estate shall be liable for the corresponding interest that have accrued thereon up to the time of filing of the estate tax return pursuant to Section 249 of the Tax Code of 1997. ( BIR Ruling No. DA 260-2000 dated June 9, 2000 ) Very truly yours, Commissioner of Internal Revenue By: (SGD.) MILAGROS V. REGALADO Assistant Commissioner Legal Service