Chapter 1.

Succession and transfer tax the property or rights received and is

subject to business taxes, not transfer
One can gain, transfer, and lose
taxes.
ownership in a number of ways.
Under civil code ownership may be
Types of Transfer Tax
acquired through:
1. Estate Tax
1. Occupation
2. Donor’s tax
2. Intellect creation
3. Law
Gratuitous transfer or donation may
4. Donation
take effect at the time of death of the donor
5. Tradition
or during the lifetime of both the donor and
6. Contract
the donee.
7. Prescription
There are two types of transfer or
8. Succession
donation: donation mortis causa and
donation inter vivos. The former is
Art. 712 of the Civil Code states that
subject to estate tax while the latter is
Ownership is acquired by occupation and
subject to donor's tax. Both are types of
by intellect creation. Ownership and other
transfer taxes, assessed on the net value of
real rights over property are acquired and
the taxable assets transferred.
transmitted by law, by donation, by testate
and intestate succession, and in
Succession.
consequence of certain contracts , by
Succession is when a person's
tradition. They may also be acquired by
property, rights, and obligations are
means of prescription.
transferred to others after their death
through a will or operation of law. .
Transfer taxes are imposed on the
(Article 774 of New Civil Code)
free transfer of private properties or rights
that do not impose a burden or require
Note. an heir's acquired
consideration from the recipient.
obligations should not exceed the total
value of the inherited properties and rights
The transfer of ownership is a free
The inheritance includes all
transfer in absence of financial
the property, rights and obligations of a
consideration and considered as a
person which are not extinguished by his
donation. On the other hand, onerous
death. (Article 776 of New Civil Code)
transfer involves the transferee paying for
 The rights to the succession are
transmitted from the moment of death of
the decedent. (Article 777 of New Civil
Code) notwithstanding the postponement
of the actual possession or enjoyment of
the estate by the beneficiary.
Nature of transfer taxes.
Transfer tax is an excise tax.
Subject matter: Privilege of the transferor
to gratuitously transfer property or rights
which takes effect at the date of death of
the transferor (transfer mortis causa) or
during lifetime of the donor and done
(transfer inter vivos)- shall be classified as
excise tax or privilege tax.
Governing law for Imposition of Estate
Tax.
Estate taxation is governed by the
statute force at the time of death of the
decedent. The said tax will accrue as the
date of death of the decedent and the
accrual of the tax is distinct from the
obligation to pay the same. Upon death
succession takes place and the right of the
state to the tax the privileged to transmit
the estate vests instantly upon death.
Kinds of Succession.
Testamentary or Testate – appointment or fail to qualify under
results from the designation of an
heir, made in a will executed in the
form prescribed by law.
Legal or Intestate – affected by
operations of law since the decedent did
not execute a will or if the last will and
testament executed by him is void.
○ If a person dies without a will; void a
will; lost its validity
○ When the will does not institute an heir
○ Partial institution of heir.
Consequently, intestacy takes place as
to the undisposed portion.
○ When the heir instituted is incapable of
succeeding
Mixed Succession - Affected
partly by will and partly by operation of
law.
Elements of Succession.
1. Decedent – general term applied
to the person whose property is
transmitted through succession,
whether or not he left a will. If he
left a will, he is called a testator
- Executor is a person designated
in the last will and testament to
carry out the provisions of the
decedent’s will.
- Administrator is appointed by
the court and performs the duties of
an executor if they refuse the
the law, or if the last will and
testament does not appoint one.
2. Inheritance (Estate) - includes a
person's property, rights, and
obligations that persist after death.
 However, purely personal rights are ● Concurring – succeed together
not transferred and end with death with the primary or secondary
(Art. 776 CC) compulsory heirs (illegitimate
3. Successor - person who is called children and descendants and
to the succession either by the surviving spouse).
provision of a will or by operation B. Voluntary Heirs – instituted by
of law (Art. 782 CC). the testator in his will to succeed to
Devisees and legatees - are the inheritance of the portion
persons to whom gifts of real and thereof of which the testator can
personal property are respectively freely dispose. Free portion refers
given by virtue of a will. to the portion or value left in the
estate after deducting the legitimes
Successors or heirs are classified of the compulsory heirs
under the law as follows: (determined through the last will
and testament)
A. Compulsory Heirs. those who C. Legal or Intestate Heirs – succeed
succeed by force of law to some to the estate of the decedent by
portion of the inheritance,in an operation of law(decedent died
amount predetermined by law, without valid will or his estate was
known as the legitime. They not entirely disposed of by will)
succeed whether the testator likes it
or not. They cannot be deprived by Composition of Gross Estate.
the testator of their legitime except
Decedent’s Estate To be Inherited by
by disinheritance properly effected.
This portion is
reserved by law
Kinds of Compulsory Heir LEGITIME specifically to
(i.e., 75% of the compulsory heirs,
● Primary – have precedence over estate) regardless of whether
and exclude other compulsory heirs a last will and
testament was
(legitimate children and prepared.
descendants
Compulsory heirs
● Secondary – succeeds only in the and/or Voluntary
absence of the primary heirs.

compulsory heirs (legitimate - As provided in

parents and ascendants) FREE PORTION the last will
(i.e., 25% of the and testament.
 one, saving the right of representation
estate) - In the absence
of a will, this when it properly takes place.
portion shall be
distributed to
“Intestate Collateral Relatives.
heirs” based in
Consanguinity (blood relatives) –
the order of
priority. relation of persons descending from the
same stock or common ancestor.
Legitime – part of the testator’s Types of Consanguinity.
property which he cannot dispose of Lineal Consanguinity subsists between
because the law has reserved it for certain persons of whom one is descended in a
heirs who are, therefore, called compulsory direct line from the other.
heirs (Art. 886 CC) Collateral Consanguinity subsists
between persons who have the same
Free Portion – portion of the estate ancestors but who not descend (or ascend)
which the testator can freely dispose of. one from the other
Hence, anyone may inherit from free Affinity is the connection existing in
portion. consequence of a marriage between each
Note. Voluntary heirs may inherit of the married spouse and the kindred of
only if mentioned in the will. the other

Order of Priority for Succession Proximity of relationships is

determined by the number of generations.
1. Legitimate children or descendants
Each generation forms a degree.
2. Legitimate parents or ascendants

3. Illegitimate children or
descendants . Table of legitimes and shares from the
free portion of the estate
4. Surviving spouse

5. Brothers and sisters, nephews and

nieces Combinations of Legitime, nOTES
Compulsory Heirs
6. Other collateral relatives within the
5th degree. LC ½, Divide by the
number of LC
7. State whether they survive
The distribution of free portion in intestate alone or with
concurring CH.
succession is based on the order of priority
1 LC ½
because in every inheritance; the relative SS ¼
nearest in degree excludes the more distant
 2 or more LC The making of a will is a strictly
½
SS Equal to 1 LC personal act.

LC ½
SS ¼ Kinds of Will.
IC ½ of LC,
Willie Revillame. Dahil napansin mo
LPA ½, whether they
survive alone or with toh ! bigyan ng jacket yan!
CH. 1. Notarial/Ordinary/Attested
LPA ½ executed in accordance with the
IC ¼, succeeded in the
¼ in equal shares. formalities prescribed by Art. 804
to 808 of NCC.
LPA ½
SS ⅛
IC
¼ Requisites
IC ½, Divide equally a. Must be in writing and executed in
among the IC. a language or dialect known to the
SS ⅓ testator.
IC ⅓ b. Must be subscribed at the end
SS ½, ⅓ if the marriage thereof by the testator himself or by
is articulo mortis and
the deceased spouse the testator's name written by some
dies within 3 months other person in his presence and by
after the marriage.
his express direction.
IP ½ c. Must be attested and subscribed by
IP Excluded three or more credible witnesses in
Any child It depends
the presence of the testator and of
IP ¼ one another.
SS ¼
The following are
WILLS. disqualified from being a witness
An act whereby a person is to a will.
permitted, with the formalities prescribed ● Any person not domiciled in the
by law, to control to a certain degree the Philippines.
disposition of his estate to take effect after ● Those who have been convicted of
his death. falsification of a document,
A document whereby a person perjury, or false testimony.
disposes of his/her properties or “estate” to The will is considered valid
take effect upon his or her death. as long as it is executed and
 attested in substantial compliance
with all legal requirements, unless
there is bad faith, forgery, fraud, or
undue pressure. Defects and
imperfections in the form of
attestation or language used do not
invalidate the will.
2. Holographic – written will which
must be entirely written, dated and
signed by the hand of the testator
himself; subject to no other form
and may be made in or out of the
country and need not be witnessed.
In case of any insertion,
cancellation, erasure or alteration in
a holographic will, the testator must
authenticate the same by his full
signature.
A codicil is a supplement or addition to a
will, made after the execution of a will. It
explains, adds to, or alters any disposition
made in the original will. To be effective, a
codicil must be executed as in the case of a
will.
Probate of a will – a court
procedure by which a will is proved to be
valid or invalid. The proceedings in the
absence of a last will and testament is
called “intestate proceedings”
3. Foreign wills – The will of an alien
who is abroad produces effect in
the Philippines if made with the
formalities prescribed by law of the
place in which he resides, or
according to the formalities
observed in his country, or in
conformity with those which the
Philippine civil code prescribes.
Revocation of wills and testamentary
dispositions.
A will may be revoked by the
testator at any time before his death any
waiver or restriction of this right is void
(Art. 822)
Modes of revoking a will;
1. Implication of law
2. By some will, codicil, or other
writing executed as provided in
case of wills
3. Burning, tearing, canceling, or
obliterating the will with the
intention of revoking it, by the
testator himself, or by some other
person in his presence, and by his
express direction
Institution of heir (Art. 840).
An act by virtue of which a testator
designates in his will the person or persons
who are to succeed him in his property and
transmissible rights and obligation.
Disinheritance.
A testamentary disposition by
which a compulsory heir is deprived of/
excluded him from the inheritance to
which he has a right. Disinheritance is not
applicable to voluntary heirs.
Right of Representation.
Requisites. A right created by fiction of law
● Effected only through a valid will where the representative is raised to the
● For a cause expressly stated by the place and degree of the person represented
law and acquired the rights which the latter
● Cause must be stated by the will would have if he were living or could have
itself inherited.
● Cause must be certain and true May arise because:
● Unconditional ○ Death
● Total (no partial disinheritance) ○ Incapacity
● The heir disinherited must be ○ Disinheritance
designated in such a manner that They shall not inherit more than
there can be no doubt as to his what the person represented would inherit.
identity
Representation is not available to;
Common causes for Disinheritance. 1. As to compulsory heirs; In case of
1. When the heir has been found repudiation, the one who repudiates
guilty of an attempt against the life his inheritance cannot be
of the testator, his/her descendants represented. Their own heirs inherit
or ascendants, and spouse in case in their own right.
of children and parents 2. As to voluntary heirs
2. When the heir has accused the 3. Voluntary heirs, legatees and
testator of a crime for which the devisees who
law prescribes imprisonment of 6 a. Predecease the testator
years or more, if the accusation has b. Renouncing the inheritance
been found groundless cannot be represented by
3. When the heir by fraud, violence, their own heirs, with respect
intimidation or undue influence to their supposed
causes the testator to make a will or inheritance.
to change one already made Right of representation applies only
4. Refusal without justifiable cause to when the decedent does not have
support the testator who disinherits descendants. Grandnephews and
such an heir.
grandnieces in the collateral line cannot controlling to a certain extent, the
inherit the right of representation. disposition of his property to take effect
upon death.
Chapter 2. Gross Estate
Justification for the Imposition of Estate
The first estate tax law in the Tax.
Philippines is embodied in Act 2601 which
took effect on July 01, 1916. 1. Benefit-Received Theory.
It was subsequently amended by Services rendered by the
the Revised Administrative Code of the government (the distributions of
Philippines imposing upon “every shares) are paid via estate tax.
transmission by virtue of inheritance, 2. Privileged or State Partnership.
devise, bequest, gift mortis causa, or Inheritance is not a right but a
advance in anticipation of inheritance” privilege granted by the states and
legatees have been acquired only
RA 8424 also known as “Tax with the protection of the state.
Reform Act” or the National Internal Hence, the accumulation of
Revenue Code (NIRC) effective January 1, properties by inhabitants is partly
1998. due to the State.
The recent amendment to Estate 3. Ability to pay theory. inheritance
Tax law was introduced by RA 10963 or is unearned income/wealth.
the act “Tax Reform for Acceleration and Increased ability to pay results in a
Inclusion (TRAIN) Act” which took taxable income.
effect on January 1, 2018 . It substantially 4. Redistribution of Wealth Theory.
amended the estate tax law by getting rid Inheritance leads to the inequality
of the use of graduated tax rate as well as in wealth in income. Payment of
revising thresholds for Standard estate tax will promote equitable
Deduction, Family home and other wealth in society.
amendments such as repealing funeral
expenses, judicial expenses and medical Classification of Decedents and
expenses. Composition of Gross Estate.
For estate taxation purposes,
Estate Tax. decedents are classified into three:
Estate tax is a tax imposed on the ○ Citizen
privilege that a person is given in ○ Resident aliens
 ○ Non resident alien Not defined in the Tax code
nonetheless, Accounting standards define
IA as an identifiable non monetary asset
Decedent Gross Estate
without physical substance. Which value is
- Citizen *Property (Real or
personal) wherever derived from intellectual and legal rights,
situated
*Intangible personal
and from the value they add to the other
- Resident alien
property wherever asset.
situated
As a rule, the situs of Intangible
*Real property
situated in PH personal property is the domicile of the
*Tangible personal owner, also known as mobilia sequntur
property situated in
PH personam.
- Non resident
*Intangible Personal
alien The "mobilia sequntur personam''
property with situs in
the PH unless principle is only used for convenience, and
excluded on the
basis of reciprocity. if the intangible property has a situs
elsewhere or has acquired a business situs
in another jurisdiction, the rule does not
Reciprocity clause (Section 104 of the
apply.
Tax code as amended)
It must yield to the actual situs of
The tax code excludes intangible
such property. The situs of Franchise, for
personal property with situs in the PH from
instance, should not be based on domicile
gross estate of a non-resident alien
of the owner but the place where such
decedent if there is reciprocity.
franchised is exercised.

There is reciprocity if:

SITUS OF TANGIBLE AND
● The decedent was a resident citizen of a
INTANGIBLE PROPERTY
foreign country that did not impose an
Property Situs
estate tax on intangible personal property
of PH citizens not residing in that foreign Real Property and Location of the
Tangible personal property.
country at the time of his death. property.
● The estate tax exemption for intangible Where it is exercised
Shares, Franchise,
personal property of a non-resident copyright and the regardless where the
like. certificate is stored.
citizen in a foreign country is recognized
by the laws of that country. Receivables Residence of debtor

Bank Deposit Location of

Intangible asset. depository bank
 A. Exclusions under Section 85 and
104 of the Tax Code.

Valuation of Gross Estate. 1. Exclusive Property of the

The estate of the decedent shall be surviving spouse.
appraised at its fair market value at the a. Exclusive properties of the
time of his death. Since succession and the decedent
accrual of the corresponding estate tax b. Common properties of the decedent
takes effect upon death, it shall only be fair and surviving spouse
to appraise the estate at its fair market Exclusive properties of the
value at the time of the decedent’s death. surviving spouse should be excluded in the
gross estate because properties are not

FMV @ time death owned by the decedent upon his death. For
General
estate tax purposes EP of husband are
Real Property The higher value
between known as “capital” and the wife as
- FMV by
commissioner
“paraphernal” properties.
- FMV for real estate
tax purpose
2. Property outside the PH of a non-
Personal Property FMV @ time death
resident alien decedent .
Shares stock Unlisted CS. BV The tax code provides that for NRA
Unlisted PS. ParV
Listed share. FMV decedents, only his properties situated
within shall be included in his gross estate.
Units of Bid price nearest
participation in any the date of death 3. Intangible personal property in
association, published in any the PH of NRA under reciprocity
recreation or publication.
amusement club law.

Right to Usufruct Basic Standard Tax code provides that Intangible

Mortality Table personal property in the PH of NRA
(BSMT), taking
into account the decedent shall be excluded from gross
probable life of the estate if there is reciprocity.
beneficiary.

B. Exclusions under Section 87 of

Exemptions and Exclusion from the
the Tax code.
Gross Estate.
a. The merger of usufruct in the owner of the
naked title.
b. Inheritance delivery from the fiduciary
(1st) heir or legatee to the Inheritance delivery from the
fideicommissary (2nd). fiduciary (1st) heir or legatee to the
c. Transmission from the first heir, legatee or fideicommissary (2nd). Fideicommissary
donee in favor of another beneficiary in transfer of property is in substance, the
accordance with the desire of the same with transfer of property under SPA,
predecessor (also known as “Transfer except that the relationship of the 1st heir
under Special Power of Appointment) and 2nd heir should not be more than 1
d. This is a legal provision that limits degree apart.
bequests, devises, legacies, or transfers to
social welfare, cultural, and charitable C. Exclusion under Special Law
institutions. These institutions are not a. Proceeds of lige insurance and benefits
permitted to use more than 30% of the received by members of the GSIS.
transfer for administrative purposes. b. Accruals and benefits received by
members from SSS by reason of death.
The merger of usufruct in the c. Amounts received from PH and US
owner of the naked title. The current governments for war damages.
decedent only received usufruct, or the d. Amounts received from the US Veterans
right to use the property, from the prior Administration.
decedent in this case. Usufruct pertains e. Payment from the PH of the US
only to the right to enjoy the use and government to the legal heirs of deceased
advantages of another property. Thus, the World War II Veterans anf deceased
current decedent is not considered the civilians for supplies/services furnished to
owner of the property. So the usufruct will the US and PH Army.
be merged to the intended beneficiary of f. Retirement benefits of officials/employees
the property. of a private firm.
g. Personal equity and retirement account
Transfer under Special Power of (PERA) assets of the decedent
Appointment. This exists when the contributor.
current decedent can appoint only from a h. Compensation paid to private and public
restricted or designated class of persons health workers who have contracted
other than himself. In accordance with the COVID 19 in case of death; the said
desire of Prior Decedent. Should be amount shall not be included as part of
excluded because the current decedent fross estate of the decedent subject to
only holds the property in trust. estate tax as provided under RA
 No.11494 or the Bayanihan to Recover
as One Act.
Composition of the Gross Estate.
Generally, gross estate consists of
all the property owned by a decedent or
which he had interest at the time of death.
○ Real Property
○ Personal tangible
○ Intangible personal
OTHER INCLUSIONS IN THE
GROSS ESTATE.
● Properties owned by the decedent
at the time of death
● Properties already transferred but
still owned by the decedent
● Decedent Interest – at the time of
his death
➢ Properties already transferred but
still owned by the decedent.
Transfer in contemplation of
death. The imminent death of the decedent
is the motive for the disposition of the
decedent
More often than not, this was used
to avoid taxes (under the pre-TRAIN
regime)
The gross estate shall include the
value of property transferred by the
decedent during his lifetime in anticipation
of his death such as;
1. Transfer of property in favor of
another person, but the transfer was
intended to take effect only upon
the transferor’s death
2. Transfer by gift intended to take
effect at death or after death
3. Income from the thing belongs to
the owner until after he/she dies
4. When the donation was made due
to decedent’s old age or known
serious illness at the time of
donation
5. Where donation was made
concurrently with execution of will
➢ Revocable Transfers. Can be cancelled at
will. Amendment, alteration, revocation,
or termination at will. No need for the
decedent to exercise the power to revoke,
it is sufficient that the power was
expressly stipulated.
There are conditions in place for
the donation to be cancelled
-If conditions are made to be
extinguished/fulfilled subject to thedonor’s
death.
➢ Transfer under General Power of
Appointment.
General Power of appointment.
Decedent had a power exercisable in
favour of himself, the estate or creditors of
his estate.
 -Included in Gross Estate of Donee
- In substance, the decedent still owns the
property; despite being donated to donee.
The power of appointment may be
exercised by the donor-decedent through
the following modes.
○ Will
○ By deed to take effect in possession
or enjoyment at or after his death.
○ By deed under which he has
retained for his life or any period
not ascertainable without reference
to his death or for any period which
does not in fact end before this
death.
○ The possession or enjoyment of, or
the right to the income from the
property
○ The right, either alone, or in
conjunction with any person to
designate the persons who shall
possess or enjoy the property or the
income therefrom.
➢ Transfer for Insufficient
Consideration. When a transfer (other
than bonafide or valid sale) was made for
a price less than its FMV at the time of
sale, the excess of the fair market value
of the transferred property at the time of
death over the value of the consideration
received should be included in the gross
estate.
➢ Claims against Insolvent persons.
FMV at the time of sale/transfer.
Use to determine whether or not the
consideration was full and adequate. If the
received is substantially the same with
FMV at the time of transfer, such sale is
considered bona fide sale, not subject to
estate tax.
FMV at the time of death.
Used to determine the amount to be
included in the gross estate. If the
consideration received substantially lower
or less than full and adequate consideration
compared to the FMV at the time of
sale,such sale was made for insufficient
consideration. In such cases, the excess of
the FMV at the time of death over the
consideration received at the time of sale
should be included in the gross estate of
the decedent.
If there is no consideration received
at the date of transfer and such transfer was
made in Contemplation of death (donation
mortis causa) the FMV at the date of death
should be included in the gross estate of
the decedent.
If there was no consideration
received at the date of transfer and such
was not made in contemplation of death
such transfer is donation inter vivos subject
to donor's tax based on the FMV at the
date of donation.
 In estate tax, an insolvent is
someone whose properties cannot fully pay
their debt. No judicial declaration is
needed, but proof of the debtor's incapacity
to pay their obligation is required. The full
amount of the claim against the insolvent
person is included in the gross estate of the
decedent, regardless of the amount they are
unable to pay. The uncollectible portion of
the claim is deductible from the gross
estate.
➢ Proceeds of life insurance.
Proceeds of life insurance taken out
by the decedent on his own life should be
included in the gross estate if the
following requisites are present:
1. It must be an insurance on the
life of the decedent; and
2. The beneficiary must be either of
the following;
● His estate or
executor/administrator (revocable
or not)
● Any third (other person than estate
or administrator/executor)
provided that the designation is
not irrevocable
If a policy does not state that the
beneficiary designation is irrevocable, it is
considered revocable. Group life insurance
taken out by an employer's proceeds are
not subject to estate tax...
The Philippine Insurance Code
presumes that a policy designation is
revocable if the beneficiary is not clear or
unnamed. However, the insured has the
right to change the beneficiary unless they
explicitly waive this right in the policy. If
the insured does not change the beneficiary
during their lifetime, the designation is
deemed irrevocable. (Section 11 of RA
10607).
Estate Tax Rate.
The estate tax applies to the
transfer of a decedent's net estate, whether
they are a resident or non-resident of the
Philippines, as determined by the tax code.
Beginning January 1, 2018 or upon the
effectiveness of RA 10963, the Net estate
of every decedent shall be subject to 6%
estate tax.
Filling of Estate Tax Return and
Payment of Estate Tax Due.
The tax code, as amended, provides
that the estate tax shall be paid by the
executor/administrator or any of the legal
heirs at the time of return. (pay as you file
system).
Filing and Payment
○ Primary liable- Executor or
Administrator
○ Secondary liable -
Beneficiary/Heir or any person
having actual or constructive
possession of the property.

Time for filling.
Estate tax shall be filed within one
year from the date of the death. No
surcharges applicable within one year
period from the date of death.
Commissioner of Revenue officer
duly authorised shall have the authority to
grant a reasonable extension of not more
than 30 days for filing the return.
Payment of Estate Tax.
If allowed by the CIR;
- Commissioner/Authorised
representatives may require
executor /administrator /beneficiary
(s the case may be) to furnish/post
a bond not exceeding double of the
amount of the tax.
- Bond must be secured from the
sureties as deemed necessary by the
Commissioner
Payment of Estate Tax- Instalment.
Will only be allowed if there are
insufficient funds or the disposition is
made partially
1. Cash instalment
2. Partial disposition
Cash Instalment.
1. Estate tax return is filed within 1
year from the date of the death
2. Estate tax return shall indicate
frequency of payment per instalment,
subject to approval of Commissioner/BIR
3. Cash instalments shall be made
within 2 years from the date of filling the
estate tax returns.
If not made within 2 years, tax
shall be due and demandable and may be
subjected to penalties and interest from
the date of the deadline of filing and
payment.
If payment made within 2 years,
no civil penalties or interest is imposed
Partial disposition of Estate Tax of its
proceeds.
1. Conveyance of property is made
in instalments
2. Estate tax return is filed within 1
year from death
3. Written request for partial
disposition of estate with a notarized
undertaking that proceeds shall be
exclusively used for the payment of the
total estate tax due
4. Approved by the BIR
5. Issuance of electronic Certificate
Authorising registration (eCAR) for each
property intended to be disposed
6. Tax shall be due and demandable
and may be subjected to penalties and
interest from the date of deadline of filing
and payment. eCARS may be withheld
until payment of tax due and interest and
penalties