2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART II - Income Taxes (§§ 30041 — 30622) › Chapter 1004 - Tax Rates (§§ 30061 — 30090) › Subchapter B - Tax on Corporations (§§ 30071 — 30076) › § 30076 - Election to file under the provisions of the Internal Revenue Code of 1994, as amended

(a) Any taxpayer that is a corporation, including limited liability companies and corporations of individuals, are hereby granted the option of computing its taxes and filing the income tax return pertaining to its first taxable year, beginning after December 31, 2010 and before January 1, 2012, and during the four (4) taxable years thereafter, in accordance with the provisions of Act No. 120-1994, as amended, known as the Internal Revenue Code of 1994, in effect as of December 31, 2010.
(b) Partnerships, including special partnerships, are hereby granted the option of determining their tax liability and filing the income tax return pertaining to its first taxable year beginning after December 31, 2010 and before January 1, 2012, and during the following four (4) taxable years, in accordance with the provisions of Act No. 120-1994, as amended, known as the Internal Revenue Code of 1994, in effect as of December 31, 2010.
(c) The taxpayer shall elect the option provided in this section by filing the income tax return for the first taxable year beginning after December 31, 2010, and before January 1, 2012. Once such election is made, the same shall be final and binding for the taxable year in which such election was made and for each one of the following four (4) years. Notwithstanding the foregoing, a taxpayer that has made an election under subsection (a) above, may elect to determine his/her tax liability for the first taxable year beginning after December 31, 2012, under the provisions of this Code. Once the election allowed herein is made, it shall be final and binding for such taxable year and for all subsequent taxable years.
(d) Special rule for partnerships, special partnerships, limited liability companies, and corporations of individuals.— In the case of a partnership, special partnership, limited liability company, and corporation of individuals, the election to determine its tax liability and file the tax return corresponding to its first taxable year beginning after December 31, 2010 and before January 1, 2012, and during the following 4 subsequent years, based on the pertinent provisions of Act No. 120-1994, as amended, known as the “Internal Revenue Code of 1994,” in effect as of December 31, 2010, shall be made by the entity, as well as by all of its stockholders, partners, or members. Once such election is made, the same shall be final and binding, pursuant to the provisions of subsection (c) of this section, for the entity and its stockholders, partners, or members. Notwithstanding the foregoing, a taxpayer that has made an election under subsection (b) of this section, may elect to determine his/her tax liability for the first taxable year beginning after December 31, 2012, under the provisions of this Code. Once the election allowed herein is made, it shall be final and binding for such taxable year and for all subsequent taxable years.
(e) Any person who has made an election under this section and is required to pay an estimated tax shall consider, in computing such estimated tax, the special tax on gross income imposed under this Code.
History —Jan. 31, 2011, No. 1, § 1022.06, retroactive to Jan. 1, 2011; Dec. 10, 2011, No. 232, § 14; June 30, 2013, No. 40, § 14.