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

The Puerto Rico Department of Treasury has announced that the Commonwealth’s transition from sales and use tax to VAT has been pushed to June 1, 2016. The transition was originally slated to take place on April 1, 2016.

UPDATE: Puerto Rico’s transition from sales and use tax to VAT has been vetoed. In May 2016, the legislature passed a bill repealing the changes that would have created the VAT. Governor Padilla vetoed that repeal, and the legislature overrode his veto.

Posted on March 24, 2016