BIR Ruling [DA-248-03]

July 29, 2003 BIR RULING [DA-248-03] 90 & 91 Atty. J. Raoul C. Dizon 27 Irwin Street, Filinvest Homes II Batasan Hills, Quezon City S i r : This refers to your letter dated July 18, 2003 requesting on behalf of the heirs of the late Santos Magsalay for an extension of thirty (30) days within which to file the estate tax return and two (2) years within which to pay the estate tax due therefrom under Sections 90(B) and 91(B) of the Tax Code of 1997. It is represented that Santos Magsalay died intestate on January 28, 2003 in Thorton, California, USA; leaving a widow and two (2) grown up children who are also US citizens and living in that country; that in 2001, the late Mr. Magsalay voluntarily turned over to the Department of Agrarian Reform (DAR) his three (3) titled land located in Lanao del Norte; that he did this to signify his cooperation with the government, specifically the Voluntary Offer to Sell program (VOS) of the CARP; that after two (2) years, the Magsalay heirs are still waiting for government, through the Land Bank of the Philippines (LBP),to value the land; that the Magsalay family has yet to receive their just compensation for the land; and that the family has very recently decided to engage your services to help them, among others, secure their rights in this regard. ATCaDE In reply thereto, please be informed that in view of the aforementioned valid and justifiable ground, your request for an extension of thirty (30) days to file the estate tax return and two (2) years to pay the estate tax reckoned from July 28, 2003, the date fixed for the filing and payment thereof, is hereby granted pursuant to Sections 90 and 91 both of the Tax Code of 1997. It is, however, understood that the estate of your client shall be liable to the corresponding interest that have accrued up to the time of the payment of the estate tax. Very truly yours, (SGD.) MILAGROS V. REGALADO Assistant Commissioner Legal Service