BIR Ruling [DA-479-05]

November 23, 2005 BIR RULING [DA-479-05] 90 (C) & 91 (B) Angara Abello Concepcion Regala & Cruz ACCRA Building, 122 Gamboa Street Legaspi Village, Makati City Attention: Atty. Ruby Rose J. Yusi Gentlemen : This refers to your letter dated September 29, 2005 requesting on behalf of your clients, the heirs of the late Dr. Virgilio B. Tablante, an extension of thirty (30) days from October 1, 2005 or until October 31, 2005 to file the estate tax return of the decedent. It is represented that the decedent died intestate on April 1, 2005; that although the heirs have started preparing the estate tax return, certain information and documents are still being gathered from government agencies and third parties to determine and/or confirm the value of the estate of the decedent, hence, this request for an extension of thirty (30) days within which to file the 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. Based on the aforestated justifiable reason, your request for an extension of time within which to file the estate tax return of the decedent, Dr. Virgilio B. Tablante, is hereby granted. Thus, considering that the last day for filing the estate tax return is on October 1, 2005, the period within which to file the same is hereby extended up to October 31, 2005. HSIADc Moreover, in view of the above favorable action on your request for an extension of thirty (30) days within which to file the estate tax return, 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 Dr. Virgilio B. Tablante. However, it shall be understood that the estate of the decedent shall be liable for the corresponding interest that has accrued thereon up to the time of payment of the aforesaid estate tax pursuant to Section 249 of the Tax Code of 1997, as amended. Very truly yours, Commissioner of Internal Revenue By: (SGD.) JAMES H. ROLDAN Assistant Commissioner Legal Service