We develop business strategies with the aim of promoting Puerto Rico as an investment alternative and overseas business, giving emphasis on the incentive programs, location, relationship with the United States, infrastructure, and our human resources. 

Incentive programs

Incentive programs

Act 20 of January 17, 2012

Law 135 of 2012

Act 62 of 2014

Act 225 of 1995

Act 73 of May 28, 2008 

Act 22 of January 17, 2012

Economic Incentives for the Development of Puerto Rico
 
Fiscal benefits:
• 4% maximum tax rate on company revenue. This percentage can be reduced by 0% and by 1% for certain "pioneering" industries.
• Special deductions X machinery and equipment.
• Credits for job creation (depending on the industrial sector).
• Credits for the purchase of products manufactured in the country.
​• Research and Development (R & D) credits and energy production.

Individual Investors Act › Puerto Rico Tax Incentives

 

On January 17, 2012, Puerto Rico enacted Act No. 22 of 2012, as amended, known as the “Individual Investors Act” (the “Act”). The Act may have profound implications for the continued economic recovery of Puerto Rico. The Act provides tax exemptions to eligible individuals residing in Puerto Rico. To avail from such benefits, an individual needs to become a resident of Puerto Rico and apply for a tax exemption decree

Benefits:

• 100% tax exemption from income tax from all sources. Includes interest and dividends.

 

• 5% preferential rate of capital gain on assets held before moving, subject to certain limitations and 100% exemption from the gain of assets they appreciate after becoming a resident.

Export Services › Puerto Rico Tax Incentives

 

On January 17, 2012, Puerto Rico enacted Act No. 20 of 2012, as amended, known as the “Export Services Act” (the “Act”), to offer the necessary elements for the creation of a World Class International Service Center. The Act provides tax exemptions and tax credits to businesses engaged in eligible activities in Puerto Rico. To avail of such benefits, a business needs to become an exempt business by applying for a tax concession and obtaining a tax exemption decree.

Benefits:
• 100% tax exemption from income tax from all sources. Includes interest and dividends.
• 5% preferential rate of capital gain on assets held before moving, subject to certain limitations and 100% exemption from the gain of assets they appreciate after becoming a resident.

The Young Entrepreneurs Act› Puerto Rico Tax Incentives

 

The government of Puerto Rico introduced Act 135 on August 7, 2014, with the goal of boosting the economy through Young Entrepreneurs. With attractive incentives and financing opportunities, this act aims to retain young talent in Puerto Rico, encourage the return of young professionals who have left the island, and develop new businesses operated by young entrepreneurs.

 

Benefit:

 

  • For those between the ages of 16 and 26, income tax exemption on the first $40,000 of gross income generated for wages, services and / or self-employment.

  • For those between the ages of 16 and 35, on the first $500,000 gross income generated during the first 3 years of operation of a new business:

  • 100% tax exemption from income tax,

  • 100% tax exemption from municipal license tax

  • 100% tax exemption on personal property

  • Expedited process to obtain permits

  • Access to financing, Venture Capital Investment, and financial advice through the Economic Development Bank of Puerto Rico access to PRIDCO real estate properties with low rent, which can be search through their online platform

“Micro, Small-, and Medium-sized Business Promotion Act

 

This law establishes a program of contributory and salary incentives for Small and Medium Enterprises ("SMEs") in Puerto Rico. The objectives of the new permanent incentive program for SMEs are to enable the development and expansion of this sector, create new jobs and retain jobs in SMEs with serious economic difficulties.

The Agricultural Tax Incentives Act of Puerto Rico

 

It promotes the development of the agricultural industry by granting additional contributory incentives to alleviate the contributory burdens and possibilities of failure of agricultural activity on our farmers whose agricultural activity or their incomes are represented 50% by agriculture in a way that allows and stimulate the permanence, development, and growth of the Agricultural Industry. Exemptions for agriculture and related sectors need to be comprehensive and comprehensive to be effectively enjoyed by these economic sectors of Puerto Rico.

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Fax.1-800-657-0861
Email: info@serranobarnes.com
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