Extension of estate tax amnesty pressed

May 7, 2023 Jester P. Manalastas 250 views

DEPUTY Speaker and Batangas Representative Ralph Recto has appealed to his former colleagues in the “smaller House” to pass the bill extending the estate tax amnesty period for two years.

Recto believes that “former classmates can pass what is a simple bill” without having to wait for President Marcos Jr. to certify the measure as urgent.

When it resumes session on May 8, both chambers of Congress have 12 session days before it adjourns anew by the end of the month.

Under the estate tax amnesty law, the period to avail of the benefits expires on June 14, “which means the clock is ticking,” Recto said.

Although tax bills originate from the House, the Senate, in anticipation of House action, can start tackling the bill, so that when the House bill arrives, the Senate version is now primed for floor debates.

The bill moving the deadline of the estate tax amnesty to June 14, 2025 has hurdled the House Ways and Means Committee.

This paves the way for plenary debates, “whose outcome, its passage, is a certainty,” Recto said.

While in the Senate, Recto was among the authors of Republic Act 11213 which erased the penalties and significantly cut the rates for estate tax obligations.

However, the period to avail of the one-time tax relief coincided with the pandemic, prompting Congress to pass what would become RA 11569 which extended the amnesty period by two years, to June 14, 2023.

By extending the window of opportunity again by two years, “families will save billions while government will earn billions”