Estate Tax Amnesty for Multiple Deceased Co-Owners in the Philippines (Comprehensive legal primer as of 24 June 2025)
1. Background and Purpose of the Estate Tax Amnesty
The Philippine estate-tax amnesty program was envisioned to:
- clear the backlog of untitled or “frozen” estates dating back decades;
- allow heirs to consolidate ownership and freely dispose of inherited property; and
- generate additional, one-time revenues for government.
Three successive statutes now frame the policy:
| Law | Date Approved | Coverage-cut-off (date of death) | Availment window | Key Implementing Rules |
|---|---|---|---|---|
| Republic Act (RA) 11213 – Tax Amnesty Act | 14 Feb 2019 | Decedents who died on or before 31 Dec 2017 | 15 Jun 2019 – 14 Jun 2021 | Revenue Regulations (RR) No. 6-2019 |
| RA 11569 (1st extension) | 28 Jun 2021 | same | 15 Jun 2021 – 14 Jun 2023 | RR No. 17-2021 |
| RA 11956 (2nd extension) | 5 Aug 2023 | Deaths on or before 31 Dec 2021 (coverage broadened) | 15 Jun 2023 – 14 Jun 2025 | RR No. 11-2023 + BIR Advisories/RMCs |
Status: The statutory availment period lapsed on 14 June 2025. Unless Congress enacts a new extension, fresh applications are no longer accepted. Applications properly filed and accepted on or before that date—including those on instalment terms—continue to be governed by the amnesty rules.
2. Core Features of the Amnesty
- Flat tax of 6 % on the net taxable estate of each decedent or on the fair market value (FMV) of the property(ies) where no deductions are substantiated, whichever is higher.
- Minimum tax: ₱5,000 per decedent.
- Full waiver of all surcharges, interest and penalties under the National Internal Revenue Code (NIRC).
- Installment option: Up to two (2) years from the initial payment date, without interest or penalty, provided the first instalment was paid within the availment window.
- Proof of payment: Electronic/printed eCAR (Electronic Certificate Authorizing Registration) issued per property or per decedent, at the discretion of the Revenue District Office (RDO) handling the case.
3. Who May Avail—Focus on Multiple Deceased Co-Owners
3.1 Statutory Definition
A “multiple-estate scenario” exists when:
- two or more decedents (e.g., parents, siblings, spouses, co-heirs) each died on or before 31 Dec 2021; and
- they held pro-indiviso interests in a common property, or one decedent inherited from another who had not yet been settled (successive estates).
3.2 Typical Patterns
| Pattern | Illustration | Treatment under RR 11-2023 & BIR Rulings |
|---|---|---|
| Co-owners die simultaneously or within short intervals | Three brothers jointly own a parcel; all died between 1990-2000. | File one consolidated Estate Tax Amnesty Return (ETAR), attaching a schedule per decedent; pay 6 % on each net estate. |
| Successive deaths | Father (1995) → inherited by Mother (2005) → inherited by Children. | Compute estate tax for Father first (based on 1995 values). Mother’s net estate includes the property already vested in her from Father; pay 6 % for each estate. |
| Common property held in trust/undocumented transfers | Title still in grandparents’ names; parents and grandchildren have all since died. | Trace the chain, prepare Extra-Judicial Settlement (EJS) or court-approved partition, then file ETARs in reverse chronological order of death. |
4. Step-by-Step Compliance Roadmap
Secure TIN for each estate (TIN format: 000-000-000-EST).
Prepare documentary requirements (per decedent):
- PSA-issued death certificate;
- Valid IDs of at least one heir/executor;
- “Extra-Judicial Settlement of Estate” (EJS) or court order of probate/intestate proceedings;
- Certified true copy (CTC) of title (OCT/TCT/CCT), tax declaration, or certificate of registration for personal property;
- Latest zonal value certification or city/municipal assessor’s FMV schedule as of date of death;
- ETAR (BIR Form 2118-E) + supporting computation sheets.
Compute the tax—6 % × [(FMV or zonal value) – allowable deductions], but not less than ₱5,000 per estate.
File & pay at the RDO where the Executor/Administrator is registered or where the largest asset is located. Present proof of payment (eFPS, e-birForms, or AAB validation).
Receive the eCARs. Check that:
- correct Transfer Certificate of Title (TCT) numbers and tax declaration numbers are quoted;
- names of heirs are accurate and complete; and
- instalment balance (if any) is annotated.
Register the deeds with the Registry of Deeds for real property, LTO/LTFRB for vehicles, SEC for shares, etc. Pay standard registration, DST and transfer fees (not covered by the amnesty).
Update tax declarations with the local Assessor’s Office to reflect new ownership shares.
5. Key Technical Points & Pitfalls
| Issue | Practical Guidance |
|---|---|
| Fair Market Value freeze | Use FMV/zonal values at the date of death—not today’s inflated figures. When a second decedent inherited the asset, apply the FMV as of that later death for his/her estate. |
| Unlocated heirs | R.A. 11213 allows filing by any heir, executor or administrator in trust for the others, but you must disclose their shares and submit an undertaking to present them should the BIR require. |
| Contested ownership or pending court case | You may still avail to stop penalties from running; annotate the ETAR “Payment under dispute.” The eCAR will be released provisional, subject to final judgment. |
| Liens & encumbrances | The amnesty erases only tax-related liens. Mortgage or adverse-claim annotations remain and must be settled separately. |
| Estate valued ≤ ₱5 million | While the TRAIN Law already imposes 6 % estate tax prospectively, the amnesty is still attractive because it waives prior penalties and allows instalments. |
| Ongoing BIR audit | Open estate-tax investigations covering dates of death ≤ 31 Dec 2021 are automatically terminated upon full amnesty payment. Closed cases and final assessments, however, remain enforceable unless included in the ETAR. |
6. After the 14 June 2025 Deadline
If you filed on or before 14 June 2025 but the BIR has not yet released the eCAR, your application remains valid—follow up and settle any documentary deficiencies.
If you paid the first instalment on time, continue paying the balance on or before each due date shown in the instalment schedule. A missed instalment revives statutory penalties on the entire unpaid amount.
If you missed the deadline entirely, the estate reverts to the regular regime of:
- 6 % estate tax plus surcharges (25 % or 50 % for fraud) plus 20 % annual interest and compromise penalties;
- mandatory notice of issuance of Estate Tax Assessment Notice (ETAN) should the BIR audit the estate.
Legislative watch: Several bills have been filed in the 19th Congress to grant a third extension (proposed cut-off 31 Dec 2023 and availment up to 2027). Until enacted, these remain only proposals.
7. Illustrative Computation – Successive Estates
Scenario: • Father (F) died 1 May 1998 owning 100 % of a lot worth ₱3 million (FMV 1998). • Mother (M) inherited the lot pro-indiviso with their three children; M died 10 Aug 2012. • FMV 2012 of the lot was ₱4 million. Allowable deductions: ₱500 k per estate. No other assets.
| Decedent | Net Estate | 6 % Amnesty Tax |
|---|---|---|
| Father | ₱3,000,000 – ₱500,000 = ₱2,500,000 | ₱150,000 |
| Mother | ₱4,000,000 – ₱500,000 = ₱3,500,000 | ₱210,000 |
| Total Payable | ₱360,000 (min. ₱5,000 not triggered) |
File one ETAR with two schedules, pay ₱360,000 (or first instalment of at least 20 %, if electing instalments), and obtain two separate eCARs.
8. Practical Tips for Heirs, Lawyers & Surveyors
- Start with a chain-of-title review using certified copies from the Registry of Deeds; trace all deaths.
- Consolidate documents early—PSA processing alone can take weeks.
- Draft one comprehensive EJS covering all estates to avoid paying multiple DST and notarial fees.
- Use the BIR’s eONETT system (where available) to generate payment forms and track eCAR release.
- Photocopy everything; BIR typically keeps originals.
- Record instalment plan dates in your calendar—no automatic reminders are sent.
- Engage a licensed real-estate appraiser if zonal values are higher than actual FMV; you may still use the zonal value (being the higher figure) but an appraisal can guide the heirs’ internal equalisation.
9. Conclusion
The estate-tax amnesty has proven to be a rare, finite window for families to untangle decades of co-ownership and secure clear title at a predictable, heavily discounted tax cost. For estates involving multiple deceased co-owners—whether simultaneous, successive, or inter-related—proper sequencing, accurate valuation as of each date of death, and meticulous document preparation are critical.
With the availment period now closed as of 14 June 2025, heirs who successfully filed must see the process through to eCAR issuance and registration. Those who missed the deadline should monitor Congress for any new extension while preparing for possible regular audit.
This article is for general information only and is not a substitute for personal legal advice. For complex estates, consult a Philippine tax lawyer or a BIR-accredited tax agent.