Puerto Rico is a beautiful place with an abundance of natural resources and culture. It is also the most geographically diverse area in all of North America. In recent years, Puerto Rico has been attracting more tourists from both inside and outside of the United States every year due to its favorable tax system. Act 22 Puerto in Puerto Rico offers significant advantages for residents looking to do business in the country. This blog post will discuss major seven advantages that Act 22 Puerto offers locals and visitors alike!
Advantages of Act 22 Puerto in Puerto Rico
# Tax-Free Investments – Any individual who invests money into a new business for five years will receive 100 percent tax deductions from the government on any income gained through dividends, interest, or capital gains. This is an excellent opportunity to invest and make a decent chunk of change while doing it!
# No Personal Income Taxes – Unlike some other countries which have high personal income taxes rates, individuals residing in this territory are exempt from paying any federal or local personal income taxes. In addition, they may also qualify for more exemptions listed below under “Act 20”!
# Ease Of Means To Obtain Permanent Residency – An individual who has lived in the country for five years under Act 22 Puerto will be able to apply for permanent residency status. This means that one may leave and come back freely without fear of losing their benefits!
# Tax-Free Businesses – Any business started within this territory is automatically considered a tax-free entity. These businesses do not have to pay any federal or local taxes whatsoever, making it an excellent opportunity to start new ventures!
# No VAT Taxes – Unlike other countries which impose certain value-added taxes on goods and services, there are no such requirements here. Instead, all purchases made by residents must include the appropriate taxes that have been levied by the government.
# No Capital Gains Taxes on Property – When selling property or assets within this territory, no capital gains tax is imposed on the transaction. This makes it a great place to do business and invest money into real estate!
# Duty-Free Shopping – While traveling outside of the country, residents are allowed to bring back an unlimited amount of goods without having to pay any import duties. In addition, they can also purchase goods duty-free from local stores!