Puerto Rico tax haven Act 60- Act 20 / 22
Export of Services Tax Benefits
- 4% fixed income tax rate
- 100% tax exemption on distributions from earnings and profits
- 75% exemption from real property taxes
- 75% exemption from personal property taxes
- 50% exemption from municipal taxes (highest rate is 1.5%)
What Businesses Qualify Under Export Service Incentives
- Research & development
- Advertising & public relations
- Consulting
- Advise on matters relating to any trade or business
- Commercial arts & graphic services
- Production of construction drawings, architectur and engineering services and project management
- Professional services, such as legal, tax and accounting
- Centralized management services
- Centers for electronic data processing
- Development of computer programs
- Telecommunication voice and data between persons located outside PR
- Call centers
- Shared services centers
- Storage and distribution centers
- Educational and training services
- Hospitals and laboratories
- Investment banking and other financial services
- Any other service that is later decided to be treated as an “eligible service” for the best interest of Puerto Rico
Individual Investors Tax Benefits (Act 22)
- 100% tax exemption from Puerto Rico income taxes on all dividends
- 100% tax exemption from Puerto Rico income taxes on all interest
- 100% tax exemption on short and long term capital gains accrued after the individual becomes a bona fide resident of Puerto Rico