Puerto Rico Insurance Excise Tax Exemption Act of 2021

Bill: 117-hr-1968
Sponsor: full_name: Resident Commissioner González-Colón, Jenniffer [R-PR-At Large]
Introduced: 2021-03-17
Policy area: Taxation
Subjects: Caribbean area

Foreign and international corporations

Insurance industry and regulation

Puerto Rico

Sales and excise taxes

U.S. territories and protectorates
Latest action: action_date: 2021-03-17
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2021-03-17
action_desc: Introduced in House
text: <p><b>Puerto Rico Insurance Excise Tax Exemption Act of 2021</b></p> <p>This bill exempts from the foreign insurer excise tax certain insurance policies, indemnity bonds, annuity contracts, or reinsurance policies issued by partnerships or corporations created or organized under the laws of a U.S. territory or possession. The exemption applies unless any of the covered hazards, risks, losses, or liabilities are also covered by a reinsurance policy issued by a foreign insurer or reinsurer other than the partnership or corporation. </p>

tv_txt: I 117th CONGRESS 1st Session H. R. 1968 IN THE HOUSE OF REPRESENTATIVES March 17, 2021 Miss González-Colón introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to exempt from the foreign insurer excise tax certain insurance policies issued by United States territory and possession insurers.

1. Short title This Act may be cited as the Puerto Rico Insurance Excise Tax Exemption Act of 2021 . 2. Certain insurance policies issued by United States territory and possession insurers exempt from foreign insurer excise tax (a) In general Section 4373 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: (3) Territories and possessions Any policy of insurance, indemnity bond, annuity contract, or policy of reinsurance issued by a partnership or corporation created or organized under the laws of any territory or possession of the United States, unless any of the hazards, risks, losses, or liabilities covered thereby are covered by a policy of reinsurance issued by a foreign insurer or reinsurer (other than such a partnership or corporation). . (b) Effective date The amendments made by this section shall apply to premiums paid after the date of the enactment of this Act.