DOF backs bill to extend estate tax amnesty until 2028

The Department of Finance (DOF) supports a bill extending the estate tax amnesty program until 2028, aiming to allow more families to settle inheritance issues and utilize idle assets.

Senator Jinggoy Estrada filed Senate Bill No. 1488, while House Bill 6614, with 55 principal authors, also seeks this extension.

The DOF believes the extension will ease the burden on families facing financial or administrative constraints in formalizing inheritances.

Finance Secretary Frederick Go stated that maximizing the use of idle assets through this measure would boost productivity.

The proposed measure amends the Tax Amnesty Act and covers estates of descendants who died on or before May 31, 2022.

Safeguards are included to prevent potential misuse of the extended estate tax amnesty.

The original program, which allowed a 6% estate tax rate without penalties for deaths before May 31, 2022, expired on June 14.