Act 72, approved on May 29, 2015, which amends the Internal Revenue Code for a New Puerto Rico introduces a value added tax system in Puerto Rico that will replace the Sales and Use tax system (“SUT”) effective April 1, 2016, for state tax purposes. The SUT will continue to be in place for municipal tax purposes after March 31, 2016.

From January to April 2016, every two weeks, we will be publishing a series of eight VAT industry guides. We invite you to visit this section for more information.