As the country observes Tax Awareness Month this February, Senator Win Gatchalian reminded taxpayers to avail of the government’s estate tax amnesty program which has been extended from June 15, 2023 to June 14 of this year.
Republic Act 11956, a law principally authored and sponsored by Gatchalian, extends the estate tax amnesty program by two years to give the legal heirs, transferees, or beneficiaries enough time to pay the excise taxes due on the properties they inherited from deceased relatives. The amnesty allows for payment at a reduced rate, as heirs will not face penalties or interest for late payment. The law also expands the coverage of the amnesty to include individuals who passed away as of May 31, 2022, replacing the previous cutoff date of December 31, 2017.
“Now is the perfect opportunity for heirs and beneficiaries to prepare for their payment, which should be made on or before the extended deadline, while they are already budgeting for their expenses in the first half of the year,” said Gatchalian, chairperson of the Senate Committee on Ways and Means.
“We need to promote and enhance tax education so that we can properly equip taxpayers in fulfilling their obligations in the hope of increasing tax compliance and generating much-needed revenues that would finance government programs and much-needed infrastructure,” he emphasized.
The law stipulates that filing can be made either manually or electronically with any authorized agent bank or Revenue District Office by the heirs and beneficiaries. It also includes an installment payment option to encourage these taxpayers to avail of the amnesty program.
The lawmaker explained that availing the amnesty program would enable taxpayers to realize the full potential of their assets. “Mabibigyan na ng pagkakataon ang mga taxpayers na gawing pormal ang kanilang pagmamay-ari ng anumang ari-arian at masisiguro nila ang kanilang mga karapatan bilang mga lehitimong may-ari,” Gatchalian said.
The senator also mentioned that Tax Awareness Month is a key opportunity to strengthen public support for revenue initiatives and boost tax collection. To assist taxpayers, Gatchalian authored Republic Act 11976, or the Ease of Paying Taxes Act, aimed at simplifying the tax system and making compliance easier for individuals and small businesses.
