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The Puerto Rico tax is...weird. It goes up highly progressively on value (I think 40% over 40k), it seems to be different for importer/dealer vs. individual, e
by rdl 9y ago
The Puerto Rico tax is...weird. It goes up highly progressively on value (I think 40% over 40k), it seems to be different for importer/dealer vs. individual, etc., but the 2015 electric exemption is nice.
(But, in exchange via act 20+22: zero capital gains (LT/ST), zero tax on dividends, and consulting/services/export revenue are taxed at 0-4% -- all guaranteed through at least 2035. Seems to be becoming quite the hub for traders and cryptocurrency people, plus some saas/consultancy types, which becomes interesting to me for network effect reasons.)
- seanmcdirmid 9y ago> (But, in exchange via act 20+22: zero capital gains (LT/ST), zero tax on dividends, and consulting/services/export revenue are taxed at 0-4% -- all guaranteed through at least 2035. Seems to be becoming quite the hub for traders and cryptocurrency people, plus some saas/consultancy types, which becomes interesting to me for network effect reasons.) And in exchange for that, Puerto Rico is broke. But that is not a topic for here and now :)
- rdl 9y agoI think it's in the other direction of causality "Puerto Rico was broke, so they passed all these incentives in 2006 and enhanced them in 2017". But it does create a lot of perverse incentives; it's a better deal for me to move to PR and do stuff than for a PR-born kid to go to HS on-island, college in the US, and then return to PR to run a business. There is almost an argument for constitutionality/equal protection.