Ma. Rosario C. Datuin

July 30, 2007 BIR RULING [DA-428-07] Section 91 (B) DA-258-98 dtd. 6/29/98 Ma. Rosario C. Datuin Administratrix of the Estate of E.A. Gonzales 2504 Wack-Wack Twin Tower Wack-Wack Road, Greenhills Mandaluyong City M a d a m : This refers to your letter dated April 18, 2007, requesting a six (6) months extension of time to file the estate tax return and pay the estate tax due thereon of the Estate of Esperanza A. Gonzales, who died intestate on August 29, 2006 at Quezon City, due to the fact that you are still in the process of collating some properties that were concealed and withheld by certain persons thus no final inventory of the properties of the estate could be prepared. Documents submitted disclosed that your first request for extension dated February 8, 2007, was allegedly filed with and received by BIR Revenue District Office No. 38 (North Quezon City), on February 15, 2007 which, however, was not acted upon due to wrong venue; and that on April 18, 2007, you filed your request for extension with the Law Division, BIR National Office. In reply, please be informed that Sections 90 (C) and 91 (B) of the Tax Code of 1997, provide, viz: IDAESH "SEC. 90. Estate Tax Return . "(C) Extension of Time . The Commissioner shall have authority to grant, in meritorious cases, a reasonable extension not exceeding thirty (30) days for filing the return." "SEC. 91. Payment of Tax . "(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." Accordingly, in view of the aforesaid justifiable reasons, your request for extension of time within which to pay the estate tax due thereon is hereby granted until August 29, 2007. However, we are granting you a 30-day extension within which to file the estate tax return. It shall be understood, however, that the estate shall be liable for the corresponding interests that have accrued thereon from March 2, 2007 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