What Services Are Now Available In Puerto Rico

Puerto Rico Corporation

Puerto Rico translates from Spanish as "Rich Port" and officially chosen the "Democracy of Puerto Rico" is a United States territory located in the Caribbean Bounding main.

Puerto Rico corporations operate and are created under the General Corporations Act of 2009.

In add-on, Puerto Rico as well has a Tax Incentives Human activity which regulates the corporate income tax at a fixed rate of vii%.

In improver, fish canning industries along with leather products, apparels, shoes, and textiles qualify for a reduction of the corporate rate to four%. In some cases, depending on the importance of the investment projection, the corporate tax rate could be lowered to 2%.

The Controlled Strange Corporation ("CFC") organization, states that a Puerto Rican subsidiary of a strange corporation will only be taxed at a 7% rate as its maximum corporate rate with no withholding tax.

Benefits

At that place are several benefits for choosing to contain in Puerto Rico which include:

• Protection by the U.S.: As a U.S. Territory, Puerto Rico is protected by the U.Southward. armed forces and regime.

• Exempt from U.Southward. Taxes: Puerto Rico'due south Controlled Foreign Corporation (CFC) construction allows income generated from selling products to the United States exempt from U.S. Taxes. In addition, products imported from the U.S. are exempt from Duty Taxes.

• Low Corporate Taxes: The maximum revenue enhancement rate for Puerto Rico corporations is 7%. Some corporations may authorize for a maximum tax rate of only 2% (in some cases, could exist 0%) by qualifying for the "Pioneer Industries" program

• Tax Complimentary Outset Twelvemonth: Puerto Rico offers a tax deduction of 100% on real estate and personal property taxes during the first-year of operations.

• One Shareholder: A minimum of but one shareholder is immune for Puerto Rico corporations.

• No Authorized Capital: At that place is no authorized minimum majuscule requirement.

• Nominees: Nominee directors and shareholders can exist appointed.

Corporate Proper noun
Puerto Rican corporations must select a corporate name which is unique and not similar

Office Address and Local Amanuensis
Puerto Rio corporations must appoint a local registered agent and have a local office address to accept process servers and official notices.

Shareholders
A Puerto Rico corporation must accept at least one shareholder. Shareholders can exist foreign citizens.

Directors and Officers
A minimum of one managing director is required to be appointed past every Puerto Rico corporation. Directors can be foreign citizens, and can be shareholders.

Authorized Majuscule
In that location is no authorized capital requirement for corporations in Puerto Rico.

Taxes
The maximum corporate taxation rate in Puerto Rico is 7%.

Almanac Fees
Corporations in Puerto Rico pay $150 USD to incorporate and as their annual renewal fee.

Public Records
The names of shareholders, directors, and officers of Puerto Rico corporations are included in the public records. However, in club to obtain privacy, nominee directors and shareholders can exist appointed.

Bookkeeping and Audit Requirements
Corporations are required to maintain fiscal and accounting records in gild to determine their net income under General Accustomed Accounting Principles and to shown taxable income under the P.R. Revenue Code. Also, the General Corporation Human activity of 2009 requires all corporations, foreign or otherwise, doing business in Puerto Rico to maintain accounting books, documents, and financial records.

In addition, every corporation engaged in a merchandise or concern where the volume exceeds $3 one thousand thousand USD, must file financial statements. These statements must exist certified by a public accountant licensed in Puerto Rico, forth with income taxation, property tax, and book of business returns.

Annual General Meeting
An annual general coming together is required for every Puerto Rico corporation.

Fourth dimension Required for Incorporation
The estimated time required to complete incorporation in Puerto Rico is 4 to half-dozen weeks. This turnaround time depends on the corporation's name registration and the abyss of required documents.

Shelf Corporations
Shelf corporations are available to speed upward the incorporation process.

Conclusion

Equally a protected U.Southward. Territory, Puerto Rico offers unique benefits to its corporation including: no U.S. taxes for selling products in the U.South., duty free importing of products from the U.South., depression corporate tax rates, real estate and personal property taxes are exempt during the start year, one shareholder can form a corporation, no minimum authorized uppercase, and nominee shareholders and directors tin be appointed.

Source: https://www.offshorecompany.com/company/puerto-rico-corporation/

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