Ms. Bethsaiba R. Bautista

April 26, 2007 BIR RULING [DA-266-07] Section 91 (B); DA-258-98 dtd 06/29/98 Ms. Bethsaiba R. Bautista Poblacion Mangaldan Pangasinan M a d a m : This refers to your letter dated March 16, 2007, in behalf of your other heirs, requesting extension of time to file and pay the estate tax return of the estate of your mother, GUADALUPE ROVILLOS BAUTISTA, who died intestate on November 20, 2006, at Trauma Hospital, Dagupan City, since you are still in the process of collating the necessary documents/papers aside from the fact that you will not be able to pay the tax due within the six (6) month prescriptive period. In reply, please be informed that pursuant to Section 91 (B) of the Tax Code of 1997, which provides, viz: "SEC. 91. Payment of Tax . xxx xxx xxx "(B) Extension of Time when the Commissioner finds that the payment on the due date of the estate tax or of any part thereof would imposed undue hardship upon the estate or any of the heirs, he may extend the time for payment of such tax or any part thereof not 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. In such case, the amount in respect of which the extension is granted shall be paid on or before the date of the expiration of the period of the extension, and the running of the Statute of Limitations for assessment as provided in Section 203 of this Code shall be suspended for the period of any such extension." ATDHSC Accordingly, in view of the aforesaid justifiable reasons, your request for extension from May 20, 2007 to May 20, 2009 within which to pay the estate tax due thereon is hereby granted. It shall be understood, however, that the estate shall be liable for the corresponding interests that have accrued thereon up to the time of payment of the estate tax due on the transmission by the said estate of the properties in favor of the heirs pursuant to Section 249 of the Tax Code of 1997. (BIR Ruling No. DA-285-98 dated June 29, 1998) Very truly yours, (SGD.) JAMES H. ROLDAN Assistant Commissioner Legal Service