By: Yadira Portalatín-Méndez, CPA, Esq. & Yaritza Portalatín-Méndez, CPA, Esq. On December 9, 2019, the Puerto Rico Treasury Department issued several pronouncements that are herein summarized in preparation for the 2019 tax season. Administrative Determination 19-08 For tax year 2019, payers of the following services will have to file an informative declaration in order for
Read More...By: Yadira Portalatín-Méndez, CPA, Esq. & Yaritza Portalatín-Méndez, CPA, Esq. Act Number 257 of December 10, 2018 (Act 257) amended the Puerto Rico Internal Revenue Code of 2011 (Code) and some Sales and Use tax (SUT) provisions were modified. An important SUT amendment applies as of October 1, 2019 to prepared foods, carbonated beverages, pastry
Read More...by: Richard Hartmann, J.D., CLU, ChFC, TEP (Auctoris) Janira Beltrán, Esq. (Pellot-Gonzalez) Marisel Valentin Marquez, Esq. CPA, LLM (Pellot-Gonzalez) PURPOSE To illustrate the U.S. income and estate tax benefits U.S. citizens have available through Puerto Rico Economic Incentive Acts (known as Acts 20 and 22) To briefly outline the types of businesses that qualify To
Read More...By: Yadira Portalatín-Méndez, CPA, Esq. & Janira Beltrán Sellés, Esq. Act Number 257 of December 10, 2018 (Act 257) amends the Puerto Rico Internal Revenue Code of 2011 (Code). In this issue, we highlight the major changes regarding Sales and Use tax (SUT) provisions. Changes in exemptions It is now clear that legal services provided
Read More...By: Yaritza Portalatín-Méndez, CPA, Esq. & Janira Beltrán Sellés, Esq. Below you will find a summary of essential aspects of the recent Puerto Rico Tax Reform, Act 257 of 2018, impacting information and withholding requirements for payments of salary, compensation and other. In a separate publication we will address the important changes regarding sales and
Read More...By: Marisel Valentín- Márquez, CPA, Esq. & Janira Beltrán Sellés, Esq. With the purpose of promoting Puerto Rico’s Qualified Opportunity Zones (“QOZ”) to local and U.S. investors, on November 7, 2018, Puerto Rico’s House of Representatives introduced House Bill 1887 to provide local incentives for investments made in Puerto Rico’s QOZ. These local tax incentives would
Read More...By: Marisel Valentín- Márquez, CPA, Esq. & Janira Beltrán Sellés, Esq. On October 19, 2018 the Internal Revenue Service (“IRS”) issued proposed regulations and Revenue Ruling 2018-29 on Qualified Opportunity Zones (“QOZ”). QOZ were incorporated as part of the 2017 U.S. Tax Reform to promote private investment in low-income communities throughout the United States, including
Read More...By: Janira Beltrán Sellés, Esq, & Yadira Portalatín Méndez, CPA, Esq. In a recent decision, our Supreme Court (“Court”) held that a jeopardy assessment posted in Puerto Rico Treasury’s system before the statute of limitations expired but notified to taxpayer after such period expired was valid. The Puerto Rico Internal Revenue Code states that income
Read More...By: Yaritza Portalatín-Méndez, Esq., CPA The Internal Revenue Service reminds the taxpayers that it will close the 2014 Offshore Voluntary Disclosure Program (OVDP) on September 28, 2018. See our March 14, 2018, Tax Headline 2018-03, for further details. The IRS will continue to hold taxpayers with undisclosed offshore accounts responsible after the program closes. In
Read More...By: Janira Beltrán Sellés, Esq, & Marisel Valentín- Márquez, CPA, Esq. Prior to Act 157-2018, only creative industries, headquarters, shared service centers and call center activities were eligible under Act 20-2012, known as the “Act to Promote the Export of Services” (“Act 20”) for real and personal property tax exemption. Personal property tax rates range
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