BIR Ruling [DA-253-00]

June 1, 2000 BIR RULING [DA-253-00] Atty. Ma. Lourdes L. Guillergan 703-A Madrigal Building 6793 Ayala Avenue Makati City M a d a m : This refers to your letter dated March 24, 2000 for an extension of ninety (90) days within which to pay the estate tax due on the transmission of said estate to the heirs of the late Elisa Pintado Toda pursuant to Section 91(B) of the Tax Code of 1997. It is represented that Elisa Pintado died on September 29, 1999 at No. 69 Real Street Urdaneta Village, Makati City at the age of 95; that at the time of her death, she owned several real properties situated in Manila and Batangas which constitute the only assets of her estate; that the deceased left no cash to pay for the estate tax which is estimated at P1,212,281.70 and her heirs are not financially capable to pay the same; that upon the death of Elisa Pintado Toda, the heirs have been exerting their best efforts to raise funds to pay for the aforesaid estate tax; that they have offered the properties of the estate for sale but they have yet to find an interested buyer; that on March 29, 2000, which was the last day for filing the estate tax return, the heirs of the late Elisa Pintado Toda filed the corresponding return; that as counsel for said estate, you are constraint to make this request for the reason that the payment of the said tax would impose undue hardship upon the estate and heirs of the late Elisa Pintado Toda. In reply, please be informed that in view of the aforementioned valid and justifiable grounds, your request for an extension of ninety (90) days reckoned from March 29, 2000, the date fixed for the filing and payment thereof, is hereby granted without the corresponding surcharge and penalties, pursuant to Section 91 of the Tax Code of 1997. However, it is understood that the estate of the late Elisa Pintado Toda shall be liable to the corresponding interest that may have accrued up to the time of the payment of the estate tax. Very truly yours, (SGD.) ESTELITA C. AGUIRRE Deputy Commissioner (Resource Management Group) Officer-in-Charge