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Due to the effects caused in Puerto Rico by Hurricane Fiona, the State Insurance Fund Corporation (CFSE) has decided to extend the deadline for employers to comply with the payment of their policies.

The afternoon of September 18, 2020, Hurricane Fiona made its landfall in the Southwest coast of Puerto Rico bringing with it 85 mph winds and a large amount of rain. This event caused many rivers to overflow their banks, causing emergencies around the Island. Special tax law provisions may help taxpayers and businesses recover financially from the impact of a disaster, especially when the federal government declares their location to be a major disaster area. Depending on the circumstances, the IRS may grant additional time to file returns and pay taxes. The declaration permits the IRS to postpone certain tax-filing and tax-payment deadlines for taxpayers who reside or have a business in the disaster area.

On September 17, 2022, the Governor of Puerto Rico issued Executive Order 2022-045 declaring a state of emergency due to the threat of the atmospheric event named Fiona. The afternoon of September 18, 2020, Hurricane Fiona made its landfall in the Southwest coast of Puerto Rico bringing with it 85 mph winds and a large amount of rain. This event caused many rivers to overflow their banks, causing emergencies around the Island. As a result of these events, the Puerto Rico Department of Treasury (“PRTD”) issued two important publications in relation to the Puerto Rico Sales and Use Tax (“SUT”), which are summarized below:

If you are planning to do business in Puerto Rico, download this guide with information on the legal, accounting and taxation framework to keep you on the right track.

Puerto Rico tax and business incentives to qualifying business operating or considering to operate in the country.

An Unmitigated Disaster: A Global Roundup