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Puerto Rico Sales Tax

On this page you will find handy sales and use tax information about Puerto Rico.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state/territory. Here you can see the sales tax rates and any remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to Puerto Rico that you can filter by topic. This will help you get informed on current and past legislation that has passed in the territory.

State Sales Tax Rates
State Rate

11.500% The Commonwealth rate is 10.5% with a 1% local rate that applies throughout the Commonwealth.
Range of Local Rates

0%
Local Rates Apply to Use Tax

Yes
Remote Seller Nexus Rules
ECONOMIC NEXUS

1/1/2021
MARKETPLACE NEXUS

1/1/2020
Sales Tax Holidays
Hurricane Preparedness Sales Tax Holiday

May 2024 (exact dates TBD)

  • Portable generators priced $3,000 or less
  • Specified hurricane preparedness items (no price caps)
Sales Tax Amnesty
Status

Inactive

Amnesty Filing Dates

March 30, 2015 - June 30, 2015

Go to Puerto Rico Amnesty Page
AMNESTY INCLUSION PERIODS

Taxable periods ended before July 1, 2014 for sales and use taxes.

TAX TYPES AND CONDITIONS

Corporate and personal income taxes (excluding taxable years beginning after December 31, 2013), estate and gift taxes, sales and use taxes (for taxable periods ended before July 1, 2014), and excise taxes.
AMNESTY BENEFITS

Interest and penalties waived.

Status

Inactive

Amnesty Filing Dates

December 18, 2013 - March 27, 2014

Go to Puerto Rico Amnesty Page
AMNESTY INCLUSION PERIODS

Real property debts incurred and due for fiscal year 2012-2013 and previous tax periods, as well as any debts related to the personal property tax returns through tax year 2012.

TAX TYPES AND CONDITIONS

Property Tax
AMNESTY BENEFITS

Waiver of interest, surcharges and penalties on outstanding real and personal property tax debts with the Municipal Revenue Collection Center (CRIM).

Status

Inactive

Amnesty Filing Dates

May 13, 2013 - June 30, 2013

Go to Puerto Rico Amnesty Page
AMNESTY INCLUSION PERIODS

TAX TYPES AND CONDITIONS

Income tax; estate and gift tax; excise taxes; sales and use tax; income tax withholding at the source; any tax levied under Act No. 7-2009 (special real property tax); any tax levied under Act No. 73-2008 (Puerto Rico economic development incentives); any tax levied under Act No. 74-2010 (tourism development); any tax levied under Act No. 83-2010 (green energy incentives); any tax levied under Act No. 27-2011 (economic incentives for the motion picture industry); any tax levied under Act No. 20-2012 (exportation of services); and any tax levied by any law of a similar nature or providing a special income tax rate.
AMNESTY BENEFITS

Interest, surcharges, and penalties waived.

Status

Inactive

Amnesty Filing Dates

November 7, 2011 - February 29, 2012

Go to Puerto Rico Amnesty Page
AMNESTY INCLUSION PERIODS

All periods prior to date of amnesty application.

TAX TYPES AND CONDITIONS

Income tax, inheritance and gift tax, and special real property tax.
AMNESTY BENEFITS

Waiver of Interest, penalties, surcharges, and any other additions to tax.

Administration Information
Streamlined Sales Tax Status

Not a member
NUMBER OF TAXING AUTHORITIES

Puerto Rico currently has 78 municipalities (some are called cities, some are called towns)
HOME RULE AUTHORITIES

The cities and towns can directly impose various transaction taxes
Sales Tax Sourcing (Intrastate)

Refer to taxable item or service type per PR statutes
Sales Tax Return Due Date
Exemption Information
RESALE CERTIFICATE

Puerto Rico Resale Certificate
TYPES OF EXEMPTIONS

Product types of exemptions: manufacturing, sales for resale, subcontracted services, food for home consumption, some prescription drugs and healthcare items

 

Entity types of exemptions: federal government
State Links
State Tax Web Page

Puerto Rico Departamento de Hacienda
Rate Look-Up Page

Puerto Rico Sales Tax Rate Look-Up
Registration Link

Register for Puerto Rico Sales Tax
History & Fun Facts
HISTORY

In 2006, tax reform in Puerto Rico established a 5.5% state level tax and an optional 1.5% municipal level tax

 

Puerto Rico raised its sales tax rate in 2015 from 7 to 11.5%, making it the highest sales tax rate in the U.S. for “state level” sales taxes.
FUN FACTS
  • Municipalities in Puerto Rico began implementing individual sales and use taxes in 2005.

Post-Wayfair Landscape in Puerto Rico for Remote Sellers

Let’s have a brief look at economic nexus in Puerto Rico and discuss some practical tips for negotiating the complexity of sales tax compliance on the Island.

Puerto Rico has Joined 45 States in Adopting Economic Nexus

Puerto Rico established in January of 2021 that businesses making more than $100,000 in total gross sales or at least 200 transactions in Puerto Rico annually are required to register with the Puerto Rico Department of Treasury and collect and remit Puerto Rico sales tax.

Puerto Rico Enacts Temporary Exemptions for COVID-19

Puerto Rico’s Governor has enacted temporary exemptions to address the impact of COVID-19.

B2B Services and Designated Professional Services Subject to Reduced Sales and Use Tax in Puerto Rico

B2B services and certain professional services are subject to a reduced sales and use tax in Puerto Rico, effective 10/01/15. More…

Puerto Rico to Switch from Sales Tax to VAT on June 1, 2016

Puerto Rico announced a transition from sales and use tax to VAT, but it was vetoed. More…

Puerto Rico Increases Sales Tax to 11.5%

Puerto Rico enacted legislation to increase the commonwealth’s sales tax, effective 07/01/15. More…

Puerto Rico Enacts 2015 Amnesty Program

Puerto Rico enacted a tax amnesty program to take place 03/30/15 through 06/30/15. More…

Internet Tax Freedom Act Extended Until October 1, 2015, Permanent Extension Introduced

On December 16, 2014, President Barack Obama signed an act including a provision that extends the Internet Tax Freedom Act until October 1, 2015.

Puerto Rico Re-Establishes 6% Sales Tax Rate

Puerto Rico Governor Garcia Padilla signed legislation re-establishing the 6% sales and use tax rate, effective February 1, 2014. A reduction in the tax rate from 6% to 5.5% was originally approved to go into effect on December 1, 2013…

Puerto Rico Enacts Property Tax Amnesty Program

Puerto Rico has enacted a tax amnesty program to relieve taxpayers from paying interest, surcharges and penalties on outstanding real and personal property tax debts with the Municipal Revenue Collection Center (CRIM). The tax amnesty program applies to real property…

Puerto Rico Tax Amnesty Available Through February

Puerto Rico has enacted a tax amnesty program that will run through February 29, 2012, or a later date pursuant to the Act. Interest, penalties, surcharges, and any other additions to tax are waived for any taxpayer that pays the…

Puerto Rico Updates Exemption Certificate Legislation

Effective, November 1, 2009, the 1994 Puerto Rico Internal Revenue Code has been amended by Act No. 7 of March 7, 2009, eliminating the existing resellers exemption certificates issued for sales and use tax purposes and replacing them with new…

Puerto Rico Sales and Use Tax Filing Date Requirements Changed

On March 9, 2009, Act No. 7 was enacted with various changes to the Puerto Rico Internal Revenue Code of 1994. The Sales and Use Tax filing date has been changed from the 20th to the 10th following the close…

Puerto Rico Reseller Exemptions- Sales and Use Tax Provisions

On March 9, 2009, Act No. 7 was enacted with various changes to the Puerto Rico Internal Revenue Code of 1994. Under this act, exemptions for purchases of inventory to be sold have been eliminated. However, the exemption for items…

Puerto Rico Declares Emergency Tax Exemption

Due to heavy rainfall and emergency weather conditions, the Governor of Puerto Rico has issued emergency Administrative Determination No. 08-07 to exempt basic necessities from sales tax for the period starting at 3 p.m. September 23, 2008 and ending 11:59…

Puerto Rico Eliminates Excise Tax and Introduces Sales/Use Tax

Effective November 15, 2006, Puerto Rico’s recently-enacted Law No. 177 formally eliminates its excise tax and replaces it with a general sales and use tax. The law authorizes a 5.5% island-wide and 1.5% local sales and use tax generally applicable…