Applying for Act 60 benefits is a strategic decision that shapes your long term tax and corporate future. Many individuals and business owners want to move fast but do not always understand what the government requires or how to present their case correctly. This is why the guidance of a skilled Corporate and Tax Attorney becomes essential before filing anything.

At Tax Law And Venture Services, we help applicants understand the law the right way so they do not make costly mistakes. A qualified Corporate and Tax Attorney will not simply gather documents. They examine every detail of your structure, your income, and your plans. This step helps you qualify without delays and protects your decree for years ahead.

What a Corporate and Tax Attorney Evaluates Before Starting Your Application

Before a Corporate and Tax Attorney begins your Act 60 process, they look at your full financial picture. This includes your revenue sources, your residency intentions, your business activities, and how your current structure fits with Act 60 rules. Many applicants think they only need to show income but Act 60 requires deeper proof. The attorney will assess compliance readiness and see if you meet all legal conditions.

A Corporate and Tax Attorney from Tax Law And Venture Services will also evaluate your timeline, your relocation plans, and whether your operations can truly be performed in Puerto Rico. The attorney must confirm that your business and personal decisions align with Act 60 goals. This early screening avoids rejections and unnecessary audits. It also helps you understand what must change before submitting the application.

1. Proof of Residency and Relocation Plans

Your Corporate and Tax Attorney will always start by checking your residency strategy. Act 60 requires genuine physical presence in Puerto Rico and this must be documented clearly. The attorney will ask how many days you plan to stay on the island and whether you are prepared to show proof of presence.

They will also confirm if you have a lease, a home purchase plan, or temporary housing options. Residency is one of the most reviewed areas in Act 60 applications. Clear evidence protects you from future challenges. Tax Law And Venture Services helps clients understand which documents count and how to track days correctly.

2. Understanding Your Business Activity and Eligibility

A key requirement under Act 60 is that your business activity must qualify as an eligible service. Your Corporate and Tax Attorney will ask what service you provide and where the work is performed. The attorney needs to confirm that the services can be legally treated as Puerto Rico sourced or export services.

If your work takes place outside Puerto Rico, you may not qualify. If your work is location flexible, the attorney will help you structure operations properly. At Tax Law And Venture Services we analyze your business model, client base, and operational flow to ensure compliance. This step prevents errors and builds a strong foundation for your application.

3. Verifying Your Source of Income

Every Act 60 applicant must understand how the IRS and Puerto Rico define income sourcing. A Corporate and Tax Attorney will review your income streams and determine which parts qualify under Act 60 rules. This includes digital services, consulting, remote work, and business management.

Your attorney will explain how income is treated depending on where the service is performed. They will also confirm records such as invoices, contracts, and payment structures. Tax Law And Venture Services helps clients align their income reporting with Act 60 laws so that the tax benefits are fully protected.

4. Corporate Structure Setup and Compliance

Before you apply for Act 60, you must have the correct legal structure. A Corporate and Tax Attorney will review whether you need an LLC, a corporation, or another entity under Puerto Rico law. They will also check if your structure can support your tax benefits in the long run.

Many applicants already have U.S. companies and must reorganize or redomicile their business. Your attorney will guide you through the best approach based on your growth plans. At Tax Law And Venture Services we ensure your new structure meets Act 60 requirements and matches your financial goals.

5. Banking, Accounting, and Recordkeeping

Act 60 requires proper accounting and clear financial tracking. A Corporate and Tax Attorney will ask about your banking setup and bookkeeping system. You must maintain separate accounts for Puerto Rico operations and provide accurate documentation when requested.

Your attorney will also review whether you have professional accounting support. Act 60 audits require clean records and consistent reporting. Tax Law And Venture Services connects clients with reliable accounting support so that compliance is maintained through every stage.

6. Compliance History and Previous Tax Filings

Your past filings matter when applying for Act 60. A Corporate and Tax Attorney will ask if you are up to date with IRS and Puerto Rico tax obligations. If you have any unresolved issues, they must be corrected before applying to avoid delays.

The attorney will also check whether you have past corporate filings or foreign company registrations. Tax Law And Venture Services helps you prepare clean documentation and resolve inconsistencies. This prevents government challenges and reduces the risk of application denial.

7. Act 60 Additional Obligations and Long Term Requirements

Act 60 applicants must complete annual reports and charitable donations. Your Corporate and Tax Attorney will explain these obligations clearly. You must understand what is required every year so your decree remains valid.

The attorney will ask if you are prepared to donate the required amount and hire local employees if applicable. These obligations vary depending on your business type. Tax Law And Venture Services provides full guidance so you always remain compliant and protected.

8. Investment Plans and Growth Strategy

A Corporate and Tax Attorney will also ask about your long term investment plans. Act 60 supports economic development in Puerto Rico so your business must show real value. If your service company grows, you may need staffing, additional filings, or new operational structures.

Your attorney will assess whether you plan to expand, invest locally, or build a presence that aligns with Act 60 goals. Tax Law And Venture Services helps create stable growth strategies that match legal requirements and long term financial rewards.

Conclusion

Applying for Act 60 is not only about filling forms. It is about proving that you meet every requirement from day one. A qualified Corporate and Tax Attorney examines your structure, your residency, your income, and your compliance readiness. This ensures your application is complete and reduces the risk of delays or denials.

Tax Law And Venture Services works with individuals and companies who want to build a secure future under Act 60. With the right guidance, you can enjoy long term stability and the full tax benefits the law provides. A skilled Corporate and Tax Attorney helps you avoid mistakes, stay compliant, and benefit from the powerful incentives that Puerto Rico offers. Contact us for more details.

FAQs

1. Why does a Corporate and Tax Attorney review my residency plans before Act 60 application?

A Corporate and Tax Attorney must confirm that you can meet Puerto Rico’s bona fide residency requirements. This includes physical presence, tax home, and closer-connection tests to avoid IRS challenges.

2. What income details will a Corporate and Tax Attorney need for Act 60 eligibility?

They review where your income is generated and how it will be sourced under Puerto Rico rules. This helps determine which portions qualify for reduced tax rates or exemption under Act 60.

3. Why does my business structure matter for Act 60 approval?

Your entity type affects tax rates, reporting duties, and compliance risk. A Corporate and Tax Attorney ensures your structure aligns with Act 60 export or investor provisions.

4. Will a Corporate and Tax Attorney ask about my charitable contributions?

Yes, because Act 60 requires annual donations to approved Puerto Rico nonprofits. Your attorney will confirm your ability and willingness to meet this requirement.