What’s happening now?

Puerto Rico’s legislature is reviewing a bill to extend the Act 60 Individual Resident Investors’ benefits (formerly known as the Act 22 benefits) from 2035 to 2055. The proposal is currently on a conference committee, where the leaders of the executive and legislative branches, along with a spokesperson from each party, are meeting to approve final amendments before voting and sending it to the Governor for signature.

What are the main changes proposed?

• The Individual Resident Investors (IRI) program will be extended to December 31, 2055.
• New applications filed after December 31, 2025, face a 4% fixed tax on capital gains, interest, and dividends.
• Current decree holders under Act 22 and Act 60 will keep their current benefits until 2035, with the option to transition when their decree ends.

Why the urgency?

Applicants who submit their Act 60 application on or before December 31, 2025, will be “grandfathered” at the 0% tax rate for the life of their decree. After that, all new applications will be subject to the 4% rate, plus any additional requirements that may be imposed.

Consult with us to get started!

Don’t wait—reach out now to review your options, secure your future, and maximize these benefits before the rules change.