CEBU CITY, PHILIPPINES — Cebu City North District Representative Rachel Marguerite “Cutie” del Mar has filed House Bill No. 6535, also known as the “Estate Tax Abolition Act of 2025,” seeking to repeal all provisions in the National Internal Revenue Code that impose estate taxes on the transfer of assets of deceased persons.
Section 3 of Del Mar’s proposed bill states: “provisions of the National Internal Revenue Code of 1997 (Republic Act No. 8424), as amended by the Tax Reform for Acceleration and Inclusion (TRAIN) Law (Republic Act No. 10963), imposing the estate tax on the transfer of the net estate of deceased persons, are hereby repealed. Consequently, estates of deceased persons shall no longer be subject to estate tax.”.
Del Mar said the bill aims to ease the financial burden on families who are already coping with the emotional and practical difficulties following the death of a loved one.
In the bill’s explanatory note, Del Mar highlighted that estate taxes often force heirs to sell or liquidate properties and family businesses just to settle tax obligations, leading to long-term financial strain and the possible loss of assets accumulated over generations.
“The imposition of estate tax during a period of mourning adds unnecessary hardship on families,” the measure states, noting that many are compelled to dispose of inherited assets simply to comply with tax requirements.
Del Mar emphasized that abolishing the estate tax would not only help families but would also yield broader economic benefits. These include encouraging wealth retention and reinvestment within Filipino households, simplifying tax compliance for taxpayers and the Bureau of Internal Revenue (BIR), and strengthening financial stability across generations.
The proposed law directs the BIR to issue implementing rules and regulations once enacted and mandates that all references to estate tax in existing laws, rules, and regulations be amended accordingly.
A separability clause ensures that the remaining provisions remain effective even if any part of the law is declared unconstitutional.
Del Mar urged the immediate passage of House Bill 6535, noting that eliminating the estate tax would promote a “more equitable and efficient fiscal system” while reducing the financial burden on bereaved families.
Strong support for the bill
Support for the measure has come from prominent figures such as Michael Acebedo Lopez, Honorary Consul General of Greece in Cebu, who expressed hope on his Facebook page that the bill would gain backing from Congress.
“I really hope it gains the support it needs in Congress to pass into law. A recent viral post by Ronald Mascariñas articulately makes the case for the long overdue abolition of the heartless and inhumane ESTATE TAX in the Philippines,” the former Cebu Port Authority commissioner said.
Businessman Ronald Mascariñas, former president of Chooks-to-Go, also endorsed the bill, highlighting the hardships faced by Filipino families in settling estates.
He noted that estate settlement is not merely a matter of paperwork but a grief compounded by fees, penalties, and complex processes that many cannot navigate.
He said that homes are left untitled, small farms frozen for decades, and families already mourning are pushed deeper into financial hardship.
“Abolishing estate tax is about ordinary Filipinos, widows, OFW families, farmers, and children who only want to keep the home and small farm their parents already paid taxes on all their lives,” Mascariñas said.
He recounted his own experience with the extrajudicial settlement of his sister’s estate, noting that despite exemptions for the family home, the process remained long, costly, and emotionally draining. “If this is difficult for us, how much more for families with fewer resources, no lawyers, and no guidance?” he asked.
No estate tax in other countries
Mascariñas said that, across Asia, many countries have already removed estate or inheritance taxes, including Singapore, Hong Kong, Malaysia, Brunei, India, Thailand, Indonesia, Cambodia, Mongolia, and Bhutan. Australia and New Zealand have also abolished the tax.
He said that these countries abolished the tax for one simple reason: Estate tax raises very little revenue, but it causes enormous hardship for ordinary people.
He said that in the Philippines, inheritance is rarely about wealth but rather about modest assets such as a small house, a tiny lot, or farmland. Yet heirs still face prohibitive fees, complex paperwork, penalties for unintentional delays, and properties left frozen for decades due to heavy taxation.
Meanwhile, he said, the wealthy often avoid estate taxes through trusts and other legal structures, leaving the poor to bear the burden.
Mascariñas concluded that “estate tax traps families in grief and poverty, turning hard-earned assets into ‘dead capital’ that no one can use, sell, or develop.”
He urged lawmakers to follow the example of neighboring countries and adopt a more compassionate approach, “for dignity, for fairness, and for every Filipino family simply trying to move forward after a loss.”
Social media reactions
Netizens have also expressed strong support for Del Mar’s proposed measure that was filed on December 1, 2025. In social media reactions, several Filipinos praised the measure for its potential to ease financial burdens on families.
One netizen highlighted the reform’s significance, saying: “House Bill No. 6535, which aims to abolish the Estate Tax, is a reform that deserves our full support. Appreciation goes to Rep. Rachel ‘Cutie’ Del Mar for advancing this vital reform. No family should face added hardship after losing someone they love. This measure is for ordinary Filipinos, widows, OFW families, farmers, and children who simply want to keep the home or land their parents already spent a lifetime paying taxes on. Let us stand behind House Bill 6535 and support a reform rooted in fairness and compassion.”
Another netizen expressed hope for its swift approval, stating: “I hope the move to abolish the estate tax gets approved, so we, the heirs and family members no longer have to shoulder the burden of settling what was left to us. This would truly lift a heavy weight off our shoulders.”
Another netizen emphasized the personal and societal impact of the proposed legislation, saying, “I support the push to abolish the estate tax in the Philippines. House Bill 6535, filed by Rep. Cutie Del Mar, aims to end a tax that burdens families right after losing a loved one. A recent post by Ronald Mascariñas perfectly highlights how unfair and heartless this tax has been for many Filipinos. Removing it will help heirs finally claim what rightfully belongs to them and put properties to better use. I hope Congress gives this bill the support it deserves.”
| Written by Mitchelle Palaubsanon
