Estate Tax Amnesty Requirements in the Philippines
(Everything a practitioner or heir needs to know, updated to June 16 2025)
1. Legal Framework
| Instrument | Key Points | Effectivity | Current Status |
|---|---|---|---|
| Republic Act No. 11213 (Tax Amnesty Act) – Title II | Grants a one-time estate-tax amnesty at a flat 6 % rate; covers estates of persons who died on or before 31 December 2017 | 15 June 2019 – 14 June 2021 | Superseded but still governs 2019-2021 availments |
| RA 11569 | First extension of RA 11213 availment period to 14 June 2023 | 30 June 2021 | Superseded |
| RA 11956 | Second extension and expansion – now covers decedents who died on or before 31 May 2022; availment window 15 June 2023 to 14 June 2025; introduces installment option | 05 August 2023 (lapsed into law); effective 23 August 2023 + IRR | IN FORCE (current basis) |
| BIR Regulations & Issuances | RR 6-2019, RR 17-2021, RR 2-2023 (IRR of RA 11956); RMC 62-2019, RMC 23-2020, RMC 24-2024, etc. | Various | Implement procedural details |
Snapshot: The only operative window today is 15 June 2023 – 14 June 2025 under RA 11956. After 14 June 2025 no further amnesty is presently authorized.
2. Who May Avail
- Estates of decedents who died on or before 31 May 2022 – whether or not an original estate-tax return (ETR) was filed, and whether or not assessments, penalties, or interest exist.
- Heirs, executors, administrators, or legal representatives acting collectively (ideally through a written authority or SPA).
- Multiple or successive estates (e.g., parent then child) – each estate may separately avail, but timing and settlement sequence matter (see § 8).
- Non-resident decedents – allowed, but filing is with RDO 39 (South Quezon City – Large Taxpayers) or the RDO where the executor is registered.
3. Who Cannot Avail
| Excluded Property / Estate | Statutory Basis | Notes |
|---|---|---|
| Assets linked to plunder, money-laundering, graft & corruption, terrorism, tax evasion, or “dirty money” cases | RA 11213 §4(c) | Determined by final court judgment or AMLC finding |
| Delinquent estate tax liabilities that have become final and executory and were already covered by a compromise/abatement or judicial settlement paid before filing | BIR issuances | No “double relief” |
| Estate tax cases pending in courts where the issues involve valuation other than estate-tax liability (e.g., ownership dispute) | Practical | Clear the civil case first |
Everything else – even estates under audit or with preliminary/final assessment notices (PAN/FAN) – may avail.
4. Tax Base & Rate
| Scenario | Tax Base | Rate | Optional Relief |
|---|---|---|---|
| No previous ETR filed | Net estate (FMV* at time of death minus allowable deductions under the law then in force) | 6 % | If valuation documents are lost, heirs may elect 6 % of the higher of (a) zonal / FMV per latest available schedule or (b) assessed value per tax declaration) |
| ETR filed but deficient estate tax | Net undeclared/undervalued estate | 6 % | Previously paid basic estate tax is credited; penalties/interest are cancelled |
| For both cases | Minimum tax ₱5,000 if 6 % of net estate is lower | Installment: Under RA 11956 & RR 2-2023, pay in up to two (2) years from ETAR filing without interest or surcharge |
*FMV = whichever is higher between BIR zonal value and LGU assessed value at death. Condominium units use BIR zonal for condo; raw land uses zonal for raw land.
5. Documentary Requirements
| Form / Document | Highlights |
|---|---|
| BIR Form 2118-E – Estate Tax Amnesty Return (ETAR) | Filed in triplicate; indicates gross/net estate; signed by one heir on behalf of all (with authority) |
| BIR Form 0621-EA – Acceptance Payment Form | Generated by eFPS/eONETT or manually; validated by AAB/ePayment facility |
| Death Certificate (PSA-certified copy) | If unavailable, affidavit and pending PSA application plus barangay certificate are provisionally accepted |
| TIN of decedent & heirs | Non-resident aliens obtain temporary TIN from BIR International Tax Affairs Division |
| List of Assets & Liabilities with valuation schedules | Include Tax Declaration, Certificate of No Zonal Value (if none), bank statements, share certificates |
| Estate Settlement Document | Extra-Judicial Settlement (EJS), Last Will (probated), or Court-issued Letters of Administration |
| Proof of payment of previously-paid estate tax, if any | To credit against 6 % |
| Certification of Family Home or Agricultural Land (optional) | To support deductions if claiming but not required for amnesty because deductions are “as is” |
| Special Power of Attorney / Board Resolution | If representative files |
TIP: Missing documents? RR 2-2023 allows provisional filing (“file now, complete within 90 days”) provided you attach an Undertaking.
6. Step-by-Step Procedure
Compute the 6 % amnesty tax based on available data.
Generate ETAR (BIR 2118-E) and APF (0621-EA) via eONETT/eFPS or manual forms.
Pay through:
- Authorized Agent Banks (AABs) in the RDO; or
- e-payment channels (GCash, Maya, Land Bank Link.Biz) using code “ESTATE_AMNESTY”.
File the complete documentary set with the Revenue District Office where the decedent last resided (or RDO 39).
BIR issuance: Within 15 working days the RDO Chief (Legal) should issue a Certificate of Availment (CoA). Follow up aggressively; receipt of CoA is critical for title transfer.
Transfer of titles: Present CoA + EJS/Deed + new BIR CAR (computer-generated under ONETT) to:
- Registry of Deeds (for land/condos),
- Land Transportation Office (for vehicles),
- Corporate secretary/Transfer Agent (for shares).
Installments? If electing installment, submit a Promissory Note and Installment Payment Schedule with ETAR. CoA is annotated “Installment”. Titles are withheld until final payment, but heirs may already proceed to distribute possession/use, subject to lien.
7. Effects and Immunities
Upon issuance of the CoA:
- All estate-tax liabilities, penalties, and interest are forever extinguished.
- No audit or criminal case may be initiated for the availed estate tax (other taxes—e.g., VAT, capital-gains on future sale—are not covered).
- Assets are un-encumbered for transfer provided other non-tax encumbrances (e.g., mortgages) are cleared.
- Public officials who process documents in accordance with the CoA are immune from liability under RA 3019 (Anti-Graft), per RA 11213 §5.
8. Special & Complex Scenarios
| Situation | Practical Treatment under RR 2-2023 / BIR rulings |
|---|---|
| Successive Estates (grandfather→father→son) | File ETAR for earliest estate first; attach proof of payment/CoA when filing the next; can do them in parallel if assets are clearly segregated |
| Unregistered or untitled property | Attach tax declaration + mother title (if any) + sworn declaration of actual possession; BIR accepts as asset pro memoria; CoA still issued |
| Estate under court settlement | File ETAR; court order substituting partition accepted as “settlement document”; judge may direct issuance of CoA before decree of distribution |
| Ongoing estate tax protest/audit | Availment automatically withdraws protest; BIR cancels PAN/FAN upon CoA |
| Lost heirs / unknown claimants | Majority heirs may still file; estate retains contingent obligation to unknown heirs, not to BIR |
| Foreign assets of resident decedent | Include at book/FMV at death; no out-of-country title transfer needed, but disclosure required |
| Estate in administration after amnesty payment but before distribution | Administrator may petition court for partial distribution using CoA as proof of tax clearance |
9. Comparison With Regular Estate-Tax Regime (TRAIN Law, RA 10963)
| Feature | Amnesty | Regular Post-TRAIN |
|---|---|---|
| Rate | Flat 6 % of net estate | 6 % of net estate (same) |
| Penalties & Interest | Waived | 25 % surcharge + 12 % p.a. interest if late |
| Minimum Tax | ₱5,000 | None |
| Deductions Allowed | Those under law at time of death | Same, but subject to audit |
| Period to File | Until 14 Jun 2025 only | Within 1 year of death (can extend) |
| Immunity | Yes, for estate tax | None |
| Installment | Up to 2 years, penalty-free | Only for estates > ₱2 M, with 4%-6% interest |
10. Penalties After 14 June 2025
If you miss the deadline:
- Regular estate tax (6 % of net estate) PLUS 25 % surcharge and 12 % interest per annum, computed from the original due date (one year after death) – not from 2025.
- Criminal liability (Section 255, NIRC) may attach for willful failure to pay.
- Tax lien remains on all real and personal property of the estate and heirs.
11. Frequently Asked Questions
| Q | A |
|---|---|
| Can we pay first and gather documents later? | Yes – file ETAR with an Undertaking; complete docs within 90 days. |
| Does the 6 % cover donor’s tax on later partition? | No. Donor’s or CGT/VAT may still apply to subsequent transfers not incident to settlement. |
| Can heirs waive rights before filing? | Yes; attach Waiver/Deed of Assignment so estate tax base reflects actual transferees. |
| What if the decedent had undeclared bank deposits? | Disclose and pay 6 %; AML compliance separate. |
| Does BIR re-value property? | No. The amnesty is not subject to audit except to verify completeness of asset list. |
12. Practical Checklist (One-Pager)
- Gather death certificate, TINs, asset list, settlement deed.
- Compute 6 % or ₱5,000 minimum.
- Fill-out BIR 2118-E and 0621-EA.
- Pay via AAB/ePayment.
- File with RDO (bring originals + two sets of photocopies).
- Receive Certificate of Availment within 15 working days.
- Process title/transfers; keep CoA & proofs permanently.
(Stick this to your folder – it passes most RDO checklists.)
Key Take-Aways
- The current estate-tax amnesty window closes on 14 June 2025. Congress has not signaled a further extension.
- Even heirs with incomplete documents should file now; RA 11956 lets you finish paperwork later and pay in interest-free installments.
- A single Certificate of Availment is your golden ticket: present it to any government registry to lift the tax lien and transfer titles.
- The amnesty does not cleanse donor’s/capital-gains tax on future transactions nor criminal cases involving illegal assets.
- After the deadline the estate reverts to the ordinary regime, with compounding penalties back-dated to one year after death.
Disclaimer – This article is for general information and does not constitute legal or tax advice. Estate settlements can be nuanced; always consult a Philippine tax professional or counsel for fact-specific guidance.