Statistics and national news articles show debt-ridden Puerto Rico’s population declining in increasing numbers. Students, teachers, doctors and many more are leaving the island for better jobs, better pay and a more stable future. However, there is a small group of people moving to Puerto Rico from the U.S. in increasing numbers.
Moving to Puerto Rico from the U.S.
Many wealthy Americans and digital nomads – people who run their business online and can live anywhere they get a good internet connection — are looking for a tax haven. If you’re one of the many American business owners who feel they deserve a little break on paying taxes, Puerto Rico may be your way out.
What if I told you there’s a little-known solution to your problem—one that doesn’t involve turning in your passport and moving to Singapore? What if there was a way to remain a U.S. citizen without paying the taxes of one? Would you take advantage of the opportunity?
Well, there is a way to save on taxes, remain a citizen, and live a full life while doing so. In the U.S. Commonwealth of Puerto Rico, you don’t have to pay a fortune in taxes to live in the lap of luxury.
You may be wondering how Puerto Rico could be so wonderful. The answer lies in the fact that if you’re a business-minded person, Puerto Rico is actively seeking to attract you. Imagine living on a beautiful island, gazing out on the divine beaches of the Caribbean that lay right at your doorstep. Now—imagine living in this tropical paradise and earning more from your business and investments than you did in the United States!
Having more money just by relocating may sound too good to be true, but when it comes to Puerto Rico, it isn’t. By choosing to live on the beautiful island nestled in the Caribbean, you can have the best of all worlds… And we’ll tell you why.
- Puerto Rico makes its own laws, and those laws offer absolutely mind blowing tax benefits to people who move to Puerto Rico from the mainland.
- Puerto Rico is so much more than just a tax haven. With its pristine beaches, sunny weather, rich culture, and captivating landscapes, it is a stunning place to live.
- Because Puerto Rico is a commonwealth of the United States, you don’t have to worry about immigration, customs delays, and other hassles of moving to a new country… And you get to remain a U.S. citizen.
- If you’re looking for the comforts of home—quality housing, fine dining, recreational opportunities, and more—Puerto Rico offers them. In fact, thanks to the money you’ll save after moving, you’ll be able to live a life so luxurious you could only dream of it before.
- Puerto Rico offers miles of low-cost ocean front property (when compared to US prices).
- If you look at a map of Puerto Rico, you’ll find plenty of great places to live and do business. From the California-style beach town of Rincon to historical Old San Juan, Puerto Rico offers a variety of excellent cities to suit almost any taste.
- Puerto Rico is intentionally structuring itself as a tax shelter for the wealthy and attract businessmen and women. The Puerto Rican government is very, very friendly to business.
- If you’re an investor or looking to become one, Tax Act 22 gives you a total exemption from Puerto Rican income taxes on passive income. You’ll get a 100% tax exemption on dividends and interest as well as short-and long-term capital gains—but only if you become a resident. (To become a resident, you’ll need to live on—and be present physically on—the island for at least 183 days.)
- Running a business with an international reach from the island of Puerto Rico can mean huge savings and the potential to really maximize earnings. Tax Act 20 offers a 4% tax rate for business operating in Puerto Rico who provide services for export as well as a 60% exemption on municipal tax and a 100% tax-exemption on dividends from earnings and profits gained through export services. These rates are guaranteed until 2032.
- If Acts 20 and 22 were not enough, Puerto Rico’s Tax Act 273 is set to make Puerto Rico an international banking and financial center by providing tax incentives for new banking and financial activity done for clients outside of Puerto Rico. If you qualify, there is a 4% income tax rate for new banking and financial businesses established in Puerto Rico.
- If you make the move, you’ll be in good company. More than 400 companies have already moved to Puerto Rico in order to benefit from its business-friendly incentives and low labor costs.
11 More Reasons to Move to PR
If you’re thinking of moving to Puerto Rico, we have some more perks to tell you about life in this tropical paradise:
- Residents of Puerto Rico enjoy year-round warm weather under a golden sun.
- Puerto Rico is known for its friendly, welcoming attitude. There’s always socializing and interaction available.
- If you like adventure, there’s plenty of activities available, from surfing to rainforest hiking.
- If you long to live in the comfort of shorts and flip-flops, Puerto Rico is your place.
- Many are bilingual—so don’t fret if you don’t know Spanish!
- There’s never a dull moment in Puerto Rico: parties and entertainment are always around.
- Living in PR is more affordable than Hawaii, other Caribbean` islands, and many U.S. cities.
- Health insurance costs much less—for very good care.
- Familiar US stores and restaurants
- Live within boating distance to the Virgin Islands and more
- You are living the island life everyone dreams about!
Too Good to Be True?
Of course, Puerto Rico can have its downsides. See our article on the Pros and Cons of Living in PR
- The island has year-round warm weather. If you long for a white Christmas, this is something to consider.
- If you are an official resident, you cannot vote in U.S. elections.
- Like in Florida and other Southern States, hurricane season lasts from May to November.
- It can be hard for vegetarians–PR is a pork lover’s paradise!
- Like many cities, San Juan traffic can be bad and some areas have high crime rates.
- You may experience longer wait times for medical care… But you will be paying much less for it.
Puerto Rico Infographic
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