'Marcos heirs are liable for unpaid estate tax' — Ex-SC Justice Carpio

Published April 6, 2022, 2:18 PM

by Betheena Unite

Retired Supreme Court Justice Antonio Carpio has disputed the claim that the heirs of the late President Ferdinand Marcos cannot be compelled to pay the now P203-billion unpaid estate tax.

Retired Supreme Court Senior Associate Justice Antonio Carpio (1Sambayan/Facebook)

“Marcos heirs are liable for the estate tax,” Carpio said in a statement.

The retired Supreme Court Justice, who is now the lead convenor of coalition 1Sambayan, pointed out that under the Tax Code and the Revenue Regulations, “the co-administrators of the Marcos Estate, Imelda Marcos and Ferdinand Marcos Jr., as well as the other heirs of Marcos Sr., are expressly made liable to pay the estate tax in the original amount of P23.3 billion, which has now ballooned to over P203 billion.”

He cited Section 91(D) of the Tax Code, stating that “the estate tax imposed by Section 84 shall be paid by the executor or administrator before delivery to any beneficiary of his distributive share of the estate.”

He further argued that under Revenue Regulations Nos. 12-2018 and 17-1993 implementing Section 91 (D) of the Tax Code, “the estate tax imposed under the NIRC shall be paid by the executor or administrator before the delivery of the distributive share in the inheritance to any heir or beneficiary. Where there are two or more executors or administrators, all of them are severally liable for the payment of the tax. Xxx the executor or administrator of an estate has the primary obligation to pay the estate tax, but the heir or beneficiary has subsidiary liability for the payment of that portion of the estate which his distributive share bears to the value of the total net estate.”

“Clearly, the Tax Code and its implementing regulations impose upon the co- administrators of the Marcos Estate the primary obligation to pay the estate tax, and the subsidiary obligation to pay the estate tax falls on all the heirs in proportion to their distributive share in the estate,” Carpio said.

Carpio also stressed the Supreme Court judgement, declaring that the estate tax liability of the Marcos estate became “final and executory” as of March 9, 1999.

The retired magistrate also disputed the Marcoses’ claim that they were denied due process.

“The Marcoses claim they were denied due process. This is how the Supreme Court, in its main decision of June 5, 1997, disposed of this claim: ‘Where there was an opportunity to raise objections to government action, and such opportunity was disregarded, for no justifiable reason, the party claiming oppression then becomes the oppressor of the orderly functions of government. He who comes to court must come with clean hands. Otherwise, he not only taints his name, but ridicules the very structure of established authority’,” Carpio said.