Guidelines on the Grant of Relief on Surcharges and Interests on Tax on Transfer of Real Property Ownership in Support of the Estate Tax Amnesty Program

September 5, 2019DOF DEPARTMENT CIRCULAR NO. 001-19SUBJECT : Guidelines on the Grant of Relief on Surcharges and Interests on Tax on Transfer of Real Property Ownership in Support of the Estate Tax Amnesty Program SECTION 1. Rationale. — Title II, Section 4 of Republic Act (RA) No. 11213, otherwise known as the Tax Amnesty Act, mandates the grant of a one-time opportunity for taxpayers to settle their estate tax obligations, through an estate tax amnesty program, for taxable years 2017 and prior. As the law does not cover the relief on penalties imposed by local governments on local transfer tax, pursuant to Section 135 1 in relation to Section 151 2 and Section 168 3 of RA No. 7160, or the Local Government Code (LGC) of 1991, and other applicable local transfer tax laws prevailing at the time of death of the decedent, the noble intentions of providing reasonable tax relief under the Tax Amnesty Act is undermined. HTcADCTo address the foregoing concern and in accordance with Section 4 4 of Executive Order No. 127,...