The Governor of Puerto Rico introduced a legislative proposal representing a comprehensive new fiscal plan intended to spur economic growth and development. The plan proposes numerous tax changes, including a reduction of a number of sales tax rates.
Specifically, the Business to Business Services Rate would fall to 2% in 2019 and be completely eliminated by 2020. Likewise, the tax on prepared food would drop to 7%. The proposal is still in the very early stages of debate and is currently being considered by their Ways and Means Committee.
For a more detailed peek into the plan, please view the official document in English found at the following link: http://www.aafaf.pr.gov/assets/newfiscalplanforpr-01-24-18.pdf
About the Author
As Tax Counsel, Ramon is licensed to practice law in the Dominican Republic and is a member of the Dominican Bar Association. He has a Certificate Degree from Harvard University as well as a JD from the Universidad Autonoma de Santo Domingo.Ramon has written many essays about tax administration, and for one of them won the first prize in the international essays contest sponsored by the Inter American Center of Tax Administrations (CIAT). Prior to joining Sovos Compliance, Ramon worked for more than 10 years in the Department of Revenue of the Dominican Republic where he served as Deputy Director. He is proficient in French and Spanish.More Content by Ramon Frias