Page 113 - Caribbean-Central America Profile 2018

PUERTO RICO

CARIBBEAN-CENTRAL AMERICA PROFILE 2018

Film and Creative Services • Deferment of federal customs duties. Puerto Rico Convention Center
• 40% tax credit on all payments to Puerto • Deferment of Puerto Rico excise tax. 100 Convention Boulevard
Rico residents. • No payment of Municipal License Taxes on San Juan, Puerto Rico
• 20% tax credit on all payments to non- exports outside the United States. Tel: (787) 641-7722
resident talent (including stunt doubles). • No duty paid on damaged, scraped and
• 25% tax credit on development or obsolete merchandise. GOVERNMENT
Puerto Rico operates under the tenets of both the
expansion costs of studios, laboratories, • U.S. customs duties are not owed on labour, U.S. and Commonwealth Constitutions and has
facilities for the international transmission overhead and profit attributed to production had one of the most stable Governments in the
of television images or other media and operations in a FTZ. Americas. The Chief of State is the President of
related infrastructure.
• Reduction of time and effort in the activation the United States of America. The Head of the
Renewable Energy (Green Energy Fund) process. Government is the elected Governor. The island
maintains a non-voting seat in the U.S. House of
• Rebates of up to 60% of eligible costs for Representatives and is represented in Congress
Tier 1 (0-100 kW) and up to 50% for Tier 2 Puerto Rico Industrial Development by a non-voting Resident Commissioner elected
(101 kW-1MW). Company (PRIDCO) every four years. The relationship with the U.S.
• 60% refund on acquisition and installation #355 FD Roosevelt Avenue, is defined by the Puerto Rican Constitution,
Suite 404,
costs incurred during the installation of Hato Rey, Puerto Rico 00918 adopted in 1952. Matters of currency, defense,
renewable energy equipment for residential Tel: (787) 758-4747 external relations and interstate commerce
properties and small businesses (50% for Fax: (787) 764-1415 are within the jurisdiction of the U.S. Federal
other businesses). Government. The U.S. Constitution, plus laws
passed by Congress, is applicable in Puerto Rico.
Tourism and Hospitality THE PUERTO RICO Residents of the island may vote in Presidential
• 10% tax credit on the total project cost. CONVENTION CENTER primaries, but not in the general election, and
• 100% exemption on municipal construction The Puerto Rico Convention Center is located Puerto Rico has no electoral votes. Residents pay
excise tax, taxes on imported goods, and in San Juan, Puerto Rico and owned by the local income taxes while contributing to the U.S.
sales tax. Puerto Rico Convention District Authority, a National Medicare and Social Security systems.
• 100% exemption on municipal licenses. government agency of Puerto Rico. It is the The Constitution of Puerto Rico establishes
largest convention center in the Caribbean and
• 90% exemption on income tax and property the most technologically advanced throughout a Democratic and Republican form of
tax. both the Caribbean and Latin America. The Government, divided into three branches: the
convention center can accommodate groups of Legislative Branch, the Executive Branch and
FOREIGN TRADE ZONES up to 25,000 people with a total space of 580,000 the Judicial Branch, each of equal importance
Puerto Rico has the largest, noncontiguous square feet and 152,700 sq ft. of total exhibit and equally subordinated to the sovereign
Foreign Trade Zone (FTZ) system in the United space subdivided into three halls, all on one power of the people.
States. The system allows companies to obtain level. The facility was designed and constructed
significant financial savings, since raw material, to be the most technologically advanced center ELECTIONS
components and packaging can be transported in Latin America. It can provide broadband and The Puerto Rico general election was held on
tax free through these zones and items shipped wireless Internet connectivity at high speeds, Tuesday, November 8, 2016. Ricardo Rosselló
abroad after processing are exempt from U.S. video conferencing, and simultaneous language of the New Progressive Party (NPP) won the
taxes. Benefits of the FTZ in Puerto Rico translations, among others throughout the votes necessary to be elected Governor. The
include: center. next general election is due in November 2020.

Starting a Business - Registration Requirements:
No: Procedure Time to complete: Costs
Check online the uniqueness of the company name and register online to obtain a
1 1 day USD 250
business certificate
2 Apply for an employer identification number (EIN) 1 day no charge

3 Apply for a municipal business license (patente municipal) 1 day no charge
4 Request unemployment and disability account numbers 1 day no charge

5 Subscribe to a workmen’s insurance policy 1 day no charge

6 File an application with the Treasury Department to get the Merchant certificate 1 day no charge

Source: The World Bank Group

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