Reduce your capital gains tax rate to 0% and your corporate income tax rate to 4%. Learn how to legally reduce your tax burden with Puerto Rico’s Act 60. Our step-by-step course simplifies the process, helping you maximize savings and stay compliant.
Main Topics Covered
Act 60 Tax Strategy
Our course provides a detailed overview of Act 60 tax incentives, covering key benefits, eligibility, and strategies to maximize savings in Puerto Rico. Whether you're an investor, entrepreneur, or business owner, you'll gain the knowledge needed to apply successfully and stay compliant.
Act 60 Tax Compliance
Understanding Act 60 tax compliance is crucial to maintaining your benefits and avoiding costly mistakes. This course covers annual reporting requirements, compliance best practices, and common pitfalls to ensure you stay in good standing with Puerto Rico’s tax laws.
Tax Forms & Applications
Navigating tax forms and applications can be overwhelming, but we break it down step by step. This course walks you through the key documents needed for Act 60 and best practices for a smooth application process.
Act 60 Education Course
Maximize your wealth and minimize your stress about compliance and strategy
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Unlocking Puerto Rico's Tax Incentives: A Guide for Individuals Looking to Relocate
CourseLearn how to maximize tax savings with Act 60 in Puerto Rico! This course covers eligibility, benefits, application steps, compliance, and real-world examples. Perfect for investors, entrepreneurs, and businesses looking to optimize tax savings.
Purchase$875
Learn About Act 60
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Most investors and business owners don’t realize that by relocating to the U.S. territory of Puerto Rico, they can legally pay zero taxes on both short-term and long-term capital gains on their investments. For business owners, corporate tax rates can be reduced to just 4%, with zero taxes on dividend distributions—a game-changing tax advantage not available anywhere else in the U.S
You have probably heard the phrase “no taxation without representation.” Well, Puerto Rico is a U.S. territory, not a state. While Puerto Ricans are U.S. citizens and can travel freely between PR and the U.S., they have no senators or congressmen in Washington, D.C., and cannot vote in presidential elections. Because of this lack of representation, the U.S. government cannot impose federal income taxes on Puerto Rico residents. Instead, Puerto Rico operates under its own tax system, known as Hacienda. If you are a U.S. citizen who becomes a bona fide resident of Puerto Rico, you can legally take advantage of Act 60 tax incentives: zero capital gains taxes and a 4% corporate tax rate.
In 2012, the Puerto Rican government passed new individual and business tax laws to attract investors and business owners, stimulate the economy, and create jobs. After Hurricane Maria in 2017, Puerto Rico enhanced these tax incentives even further, leading to what is now known as Act 60. These incentives continue to make Puerto Rico one of the most attractive tax havens for U.S. citizens.
If you are a U.S. citizen living outside the United States, your worldwide income is still subject to U.S. taxation, no matter where you live. Only two other countries—Eritrea and Hungary—impose a similar tax on worldwide income. This means that if a U.S. citizen moves to Dubai, Singapore, or the Cayman Islands, they would first pay taxes in that country and then pay additional U.S. taxes. Puerto Rico is the only place in the world where a U.S. citizen can live and pay a significantly lower tax rate.
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Real World Examples
See How Much You Can Save
01
Investor Tax Savings Example
If an investor in California sells Apple stock with a $1 million long-term capital gain, they would pay:
If that same investor were a bona fide resident of Puerto Rico with an approved Act 60 tax decree, they would pay:
02
Business Owner Tax Savings Example
A business generating $5 million in net income in the U.S. could be subject to federal and state tax rates exceeding 40%. Under Act 60 in Puerto Rico, that same business would pay just 4% corporate tax and zero taxes on dividend distributions.
For example, a business generating $5 million in revenue as an S corporation in California would be taxed at:
If the owner takes distributions, they would pay additional federal and state income taxes on those earnings, bringing the total tax burden to 40%+
If that same business relocates to Puerto Rico under Act 60, they would be taxed at:
About Us
Rachel Farris CPA
Rachel Farris is a distinguished Certified Public Accountant. Her CPA firm specializes in helping individuals & families through the complex landscape of tax and compliance issues, offering sophisticated tax planning & minimization strategies and overseeing their Act 60 journey. Her extensive experience at a top-tier Big 4 international accounting firm informs her comprehensive & global approach. Her additional expertise in mergers and acquisitions also positions her uniquely to advise companies of all sizes on exit strategies. She represents high net worth Act 60 investors & business owners. Rachel travels between her offices in San Francisco & Puerto Rico. Rachel Farris, CPA is highlighted for her strategic use of the Act 60 Puerto Rico investor & business tax decrees – to maximize tax savings for her clients. Her firm’s mission is to deliver exceptional service, leveraging specialized expertise in tax planning & compliance to meet the needs of their high-net-worth clientele
Take Your First Steps to Saving Money
Register Today and Receive two 30 minutes Free Consulting Sessions
Real World Examples
See How Much You Can Save
If an investor in California sells Apple stock with a $1 million long-term capital gain, they would pay:
20% federal capital gains tax
3.8% Net Investment Income Tax
13% California state tax
Total: 37% tax rate
Total taxes paid: $370,000
If that same investor were a bona fide resident of Puerto Rico with an approved Act 60 tax decree, they would pay:
3.8% Net Investment Income Tax
13% California state tax
Total: 37% tax rate
Total taxes paid: $370,000
If that same investor were a bona fide resident of Puerto Rico with an approved Act 60 tax decree, they would pay:
- 0% in capital gains taxes
- Total taxes paid: $0
- Savings: $370,000
A business generating $5 million in net income in the U.S. could be subject to federal and state tax rates exceeding 40%. Under Act 60 in Puerto Rico, that same business would pay just 4% corporate tax and zero taxes on dividend distributions.
For example, a business generating $5 million in revenue as an S corporation in California would be taxed at:
Federal corporate tax rate: 21%
California corporate tax rate: 8.84%
Total: 29.84% tax rate before distributions
Total tax paid: $1.49 million
If the owner takes distributions, they would pay additional federal and state income taxes on those earnings, bringing the total tax burden to 40%+
If that same business relocates to Puerto Rico under Act 60, they would be taxed at:
Federal corporate tax rate: 21%
California corporate tax rate: 8.84%
Total: 29.84% tax rate before distributions
Total tax paid: $1.49 million
If the owner takes distributions, they would pay additional federal and state income taxes on those earnings, bringing the total tax burden to 40%+
If that same business relocates to Puerto Rico under Act 60, they would be taxed at:
- 4% corporate tax rate
- Zero taxes on dividend distributions
- Total tax paid: $200,000
Main Topics Covered
Act 60 Tax Strategy
Our course provides a detailed overview of Act 60 tax incentives, covering key benefits, eligibility, and strategies to maximize savings in Puerto Rico. Whether you're an investor, entrepreneur, or business owner, you'll gain the knowledge needed to apply successfully and stay compliant.
Act 60 Tax Compliance
Understanding Act 60 tax compliance is crucial to maintaining your benefits and avoiding costly mistakes. This course covers annual reporting requirements, compliance best practices, and common pitfalls to ensure you stay in good standing with Puerto Rico’s tax laws.
Tax Forms & Applications
Navigating tax forms and applications can be overwhelming, but we break it down step by step. This course walks you through the key documents needed for Act 60 and best practices for a smooth application process.
Act 60 Education Course
Maximize your wealth and minimize your stress about compliance and strategy
Where Can U.S. Citizens Move to Eliminate Capital Gains Taxes?
Most investors and business owners don’t realize that by relocating to the U.S. territory of Puerto Rico, they can legally pay zero taxes on both short-term and long-term capital gains on their investments. For business owners, corporate tax rates can be reduced to just 4%, with zero taxes on dividend distributions—a game-changing tax advantage not available anywhere else in the U.S
Why Does Puerto Rico Have Such Low Tax Rates?
You have probably heard the phrase “no taxation without representation.” Well, Puerto Rico is a U.S. territory, not a state. While Puerto Ricans are U.S. citizens and can travel freely between PR and the U.S., they have no senators or congressmen in Washington, D.C., and cannot vote in presidential elections. Because of this lack of representation, the U.S. government cannot impose federal income taxes on Puerto Rico residents. Instead, Puerto Rico operates under its own tax system, known as Hacienda. If you are a U.S. citizen who becomes a bona fide resident of Puerto Rico, you can legally take advantage of Act 60 tax incentives: zero capital gains taxes and a 4% corporate tax rate.
Why Puerto Rico Over Other Low-Tax Destinations Like Dubai or Singapore?
If you are a U.S. citizen living outside the United States, your worldwide income is still subject to U.S. taxation, no matter where you live. Only two other countries—Eritrea and Hungary—impose a similar tax on worldwide income. This means that if a U.S. citizen moves to Dubai, Singapore, or the Cayman Islands, they would first pay taxes in that country and then pay additional U.S. taxes. Puerto Rico is the only place in the world where a U.S. citizen can live and pay a significantly lower tax rate.
Why Does Puerto Rico Have Such Low Tax Rates?
You have probably heard the phrase “no taxation without representation.” Well, Puerto Rico is a U.S. territory, not a state. While Puerto Ricans are U.S. citizens and can travel freely between PR and the U.S., they have no senators or congressmen in Washington, D.C., and cannot vote in presidential elections. Because of this lack of representation, the U.S. government cannot impose federal income taxes on Puerto Rico residents. Instead, Puerto Rico operates under its own tax system, known as Hacienda. If you are a U.S. citizen who becomes a bona fide resident of Puerto Rico, you can legally take advantage of Act 60 tax incentives: zero capital gains taxes and a 4% corporate tax rate.
Investor Tax Savings Example
If an investor in California sells Apple stock with a $1 million long-term capital gain, they would pay:
20% federal capital gains tax
3.8% Net Investment Income Tax
13% California state tax
Total: 37% tax rate
Total taxes paid: $370,000
If that same investor were a bona fide resident of Puerto Rico with an approved Act 60 tax decree, they would pay:
0% in capital gains taxes
Total taxes paid: $0
Savings: $370,000
Business Owner Tax Savings Example
A business generating $5 million in net income in the U.S. could be subject to federal and state tax rates exceeding 40%. Under Act 60 in Puerto Rico, that same business would pay just 4% corporate tax and zero taxes on dividend distributions.
For example, a business generating $5 million in revenue as an S corporation in California would be taxed at:
Federal corporate tax rate: 21%
California corporate tax rate: 8.84%
13% California state tax
Total: 29.84% tax rate before distributions
Total tax paid: $1.49 million
If that same investor were a bona fide resident of Puerto Rico with an approved Act 60 tax decree, they would pay:
4% corporate tax rate
4% corporate tax rate
Total tax paid: $200,000
What Is Included With This Course
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In-Depth Tax Strategies for Investors and Business Owners
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Step-by-Step Instructions Walking You Through Act 60’s Compliance Process
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Unique Tips and Tricks to Save More Money on Taxes (Including Saving an Additional 50% on Municipal Taxes)
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Two 30-Minute Consulting Sessions to Create a Game Plan With Your Existing CPA, Attorney, or Wealth Manager
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30-Day Money-Back Guarantee if You Are Not Satisfied With This Tax Savings Course
About Us
Rachel Farris, CPA
Rachel Farris is a distinguished Certified Public Accountant. Her CPA firm specializes in helping individuals & families through the complex landscape of tax and compliance issues, offering sophisticated tax planning & minimization strategies and overseeing their Act 60 journey.
Her extensive experience at a top-tier Big 4 international accounting firm informs her comprehensive & global approach. Her additional expertise in mergers and acquisitions also positions her uniquely to advise companies of all sizes on exit strategies. She represents high net worth Act 60 investors & business owners. Rachel travels between her offices in San Francisco & Puerto Rico.
Rachel Farris, CPA is highlighted for her strategic use of the Act 60 Puerto Rico investor & business tax decrees – to maximize tax savings for her clients. Her firm’s mission is to deliver exceptional service, leveraging specialized expertise in tax planning & compliance to meet the needs of their high-net-worth clientele