reglab/statecodes huggingface dataset:
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5832 - Special loan to pay bonds in advance

The Municipal Revenue Collection Center (MRCC) is hereby empowered to procure and obtain, in representation of the municipalities that so accept pursuant to the provisions of §§ 5832–5841 of this title, a special loan in the form of a line of credit (the loan) with the Government Development Bank for Puerto Rico (the Bank) to pay in advance the amount necessary to cancel the bond issue made to transact the sale of the tax debts pending collection by the municipalities. The point forty-eight percent (0.48%) increase that results from the net increase in the General Fund subsidy to municipalities, as provided for in § 5815 of this title, shall be appropriated for the payment of interest on this loan for the first five (5) years by those municipalities participating in the financing, at the end of which term the balance owed on leveled payments of principal and interest for twenty-five (25) years until paid up in full; Provided, That any deficiency that may arise shall be paid from the operational funds of each municipality and the appropriation of the net increment in the General Fund subsidy shall take into account the appropriations made by the municipalities to pay the loan authorized by §§ 5821–5831 of this title. Those municipalities that do not participate as debtors in the loans referred to shall benefit from the raise in subsidy pursuant to the provisions of §§ 5801–5820 of this title. Provided, also, That during the first five (5) years of the loan, the recoveries of the tax debts related with the transaction of the cancelled debt, shall be applied to the principal of the loan to reduce the responsibility of each encumbered municipality.
History —Oct. 11, 2001, No. 146, § 1.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5833 - Presentation of amount to be financed

The amount to be financed as finally determined shall be presented by the MRCC Executive Director for the consideration and approval of the MRCC Governing Board. Said presentation shall include the pertinent information in terms of the proportion from the total loan that corresponds to each municipality affected by the obligation of paying in advance the balance of the debt incurred in the bond issue for the transaction of the sale of tax debts, pursuant to the provisions of § 5832 of this title.
History —Oct. 11, 2001, No. 146, § 2.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5834 - Approval of financing

During the first twenty (20) work days following the date of approval of the loan by the MRCC Governing Board, the MRCC Executive Director shall notify the mayor of each municipality the proportion of the loan of the corresponding proportion to be paid, pursuant to the provisions of § 5833 of this title. The mayor and the Municipal Legislature of each municipality thus affected shall have twenty (20) days as of the date of receipt of the notice issued by the MRCC Executive Director, to accept and approve by resolution its participation in the financing authorized by §§ 5832–5841 of this title. Upon approval of the financing, the mayor shall formalize the financing according to the terms and conditions authorized by §§ 5832–5841 of this title. In those cases in which the mayor and the Municipal Legislature do not accept to participate in the loan, the obligations of the municipality incurred as a result of the sale of delinquent debts.
History —Oct. 11, 2001, No. 146, § 3.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5835 - Loan contract with Bank

The MRCC Governing Board is hereby authorized to negotiate and formalize the loan contract with the Bank authorized by §§ 5832–5841 of this title on those grounds relative to §§ 5921 et seq. of this title, which authorized the sale by the MRCC of tax debts and §§ 5821–5831 of this title, under the following terms and conditions:
(a) The loan term shall not exceed thirty (30) years, divided as stated in § 5832 of this title; Provided, That said term could be granted for a lesser period if the fiscal situation of the municipalities so allow or in those cases in which the eligible municipalities with sufficient payment capacity so request.
(b) The payments of principal and interest for amortizing the loan, pursuant to the provided structures, up to its final payment, are the responsibility of the affected municipalities that have agreed to avail themselves to the loan provided for in §§ 5832–5841 of this title. Said payments shall be proportional to the amount of the loan corresponding to each municipality.
(c) The interest rate yielded by the loan shall be determined by the Bank pursuant to its fiscal criteria and [attuned] with §§ 5832–5841 of this title.
(d) The debenture to be subscribed shall be formalized between the MRCC Executive Director and the President of the Government Development Bank, with the attachments whose formalization is necessary, to evince the debt financed, accepted and [approved] by each municipality.
History —Oct. 11, 2001, No. 146, § 4.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5836 - Loan agreement

The Board of Directors of the Municipal Revenue Collection Center (CRIM, in Spanish) is hereby empowered to negotiate a loan agreement through its Executive Director with an authorized financing entity under the following terms and conditions:
(a) The principal of the loan shall not exceed the sum of seventy-two million dollars ($72,000,000) and its proceeds shall be used to pay the balance of the debt contracted by CRIM for the payment of the contract for the digitalization and implementation of the real estate appraisal and return to the municipalities the amounts improperly withheld during the past three and one half (31/2) years, and to defray the expenses of the loan.
(b) The loan shall have a minimum term of ten (10) years.
(c) The payments of principal and interest for the amortization of the loan up to its final payment shall be made by CRIM through the withholding of monies payable to the municipalities. The portion to be paid by each municipality shall be determined by the Executive Director of CRIM, following the basic criteria that govern the loan in effect.
(d) The Executive Director of CRIM shall have the power to negotiate and approve the terms and conditions of the loan contract and related documents, subject to the provisions of this section.
(e) The debenture to be subscribed shall be formalized between the MRCC Executive Director and a duly authorized official of the financial entity with any attachments whose formalization is necessary to evince the financed, accepted and approved debt.
History —Oct. 11, 2001, No. 146, § 5; Nov. 16, 2001, No. 159, § 1.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5837 - Legal obligation

Any guarantee of payment contracted by CRIM pursuant to what is established in §§ 5832–5836 of this title, shall constitute a legal obligation of said entity with the Bank and shall be secured with the flow of payments agreed upon with the corresponding municipalities. It shall so be stated in the financing documents signed for the granting of the loan. CRIM may guarantee the loan with the Bank and with the financing entity against the collection of the basic municipal tax which guarantee shall constitute a legal obligation of CRIM.
History —Oct. 11, 2001, No. 146, § 6; Nov. 16, 2001, No. 159, § 2.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5838 - Payment for loan

The payment of the two loans to be granted under §§ 5832–5841 of this title shall not be taken into account to calculate the maximum of the five-percent (5%) debt service established in § 6015(c) of this title, part of the “Puerto Rico Municipal Financing Act”. In the event that any municipality that avails itself of the terms of §§ 5832–5841 of this title has also obtained a loan under the terms of §§ 5821–5831 of this title, it may be restructured along with the current debt under the terms set forth in § 5835(a) of this title.
History —Oct. 11, 2001, No. 146, § 7; Nov. 16, 2001, No. 159, § 3.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5839 - Deduction from monthly payments

The Executive Director of CRIM is hereby empowered to deduct from the monthly payments to the corresponding municipalities, the amount equal to the payment of principal and interest of the debts authorized by §§ 5832–5841 of this title and remit them to the Bank or financing entity, as the case may be. The Director is also empowered to withhold from monthly remittances the amount owed [as a] result of the sale of delinquent debts from the municipalities that do not avail themselves of the financing provided by §§ 5832–5841 of this title. The withholdings authorized herein shall not be considered to compute the limit established in applicability note under § 5801 of this title.
History —Oct. 11, 2001, No. 146, § 8; Nov. 16, 2001, No. 159, § 4.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5840 - Faculties of Bank regarding loan

The Government Development Bank is hereby authorized to negotiate, sell, post as guarantee or pledge the loan authorized by §§ 5832–5841 of this title.
History —Oct. 11, 2001, No. 146, § 9.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART II (§§ 5801 — 5851-5854) › Chapter 253 - Municipal Revenues Collection Center (§§ 5801 — 5851-5854) › § 5841 - Limitation of powers

None of the provisions of §§ 5832–5841 of this title shall limit the powers, obligations and prerogatives of the Government Development Bank for Puerto Rico as fiscal agent, pursuant to §§ 581 et seq. of Title 7.
History —Oct. 11, 2001, No. 146, added as § 10 on Nov. 16, 2001, No. 159, § 5.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 255 - Payment of Debts to the Municipalities (§§ 5901 — 5905) › § 5901 - Authorization to issue notes and other obligations

The Department of the Treasury is hereby authorized to obtain financing from the Government Development Bank or other financing institutions, for an amount which shall not exceed two hundred fifteen million dollars ($215,000,000). The financing authorized by this chapter shall include the payment of interest at an annual rate which shall not exceed eight percent (8%). In the event that the financing is placed with the private sector, the Secretary of the Treasury may advance, from any available funds, those moneys needed to cover those expenses incidental to the sale of notes or other obligations to evidence the financing, as well as to advance funds to cover the interests thereon. The financing shall be subject to the provisions of § 5903 of this title and shall be used for the payment of the debt to the municipalities of Puerto Rico for the review of the property tax registries of the Department of the Treasury, as provided by § 5801 of this title, known as the “Municipal Revenues Collection Act”.
History —Aug. 11, 1995, No. 163, § 1, retroactive to July 1, 1995.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 255 - Payment of Debts to the Municipalities (§§ 5901 — 5905) › § 5902 - Manner of payment

The Office of Management and Budget shall include in the Budget of the Government of Puerto Rico, in each of the budgets of the Government of Puerto Rico for the next twenty (20) fiscal years, starting with Fiscal Year 1995-96, an amount equal to the principal and interest that the Government of Puerto Rico shall pay to cover the payment of the principal and interest of the financing obtained for the payment of said obligation.
History —Aug. 11, 1995, No. 163, § 2, retroactive to July 1, 1995.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 255 - Payment of Debts to the Municipalities (§§ 5901 — 5905) › § 5903 - Retention of statutory debts

The Secretary [of the Treasury] shall deduct from the total sum of the financing authorized, those amounts on account of statutory debts the municipal governments owe the Government of Puerto Rico, such as those had with the Retirement Systems Administration, Social Security, Chauffer’s Insurance, Employee’s Association, Withheld Income tax, Employment Insurance and others of similar nature. Debts with public corporations and other government instrumentalities are excluded. Provided, That there will be no withholding from payment of any amount on account of the aforesaid debts to those municipalities that certify in writing to the Secretary of the Treasury with documented facts that they are not in agreement with the notified statutory debts.
The remaining amount of the financing shall be remitted to the Municipal Revenues Collection Center (CRIM, Spanish acronym), for its distribution to the municipalities after the previously defined statutory debts have been withheld.
History —Aug. 11, 1995, No. 163, § 3, retroactive to July 1, 1995.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 255 - Payment of Debts to the Municipalities (§§ 5901 — 5905) › § 5904 - Determination of debt

The amount payable to the municipalities of Puerto Rico, shall be the product of the audit and reports submitted by the firm of certified public accountants contracted for these purposes and included in the reports to June 30, 1993, and a determined additional amount to cover the amounts not appropriated in previous years, or not accredited to the municipalities for property tax or payments related to the taxes on real or personal property, be it exempted or not.
History —Aug. 11, 1995, No. 163, § 4, retroactive to July 1, 1995.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 255 - Payment of Debts to the Municipalities (§§ 5901 — 5905) › § 5905 - Contention of the debt

Any municipality not in agreement with the amount of the debt determined or defined in § 5903 of this title shall follow the procedures established in § 5801 note of this title.
History —Aug. 11, 1995, No. 163, § 5, retroactive to July 1, 1995.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5922 - Elimination of tax debts in default corresponding to fiscal years prior to 1974-75

The Center shall eliminate from the taxpayers’ files and be barred from collecting those tax debts in default corresponding to fiscal years prior to 1974-75.
History —June 26, 1997, No. 21, § 4.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5924 - Continuation of the fiscal lien

(a) Notwithstanding, any legal provisions to the contrary, the fiscal lien existing on the date of approval of this act corresponding to taxable years 1991-1992 and 1992-1993, shall be fixed permanently until the total tax debt on real property corresponding to said years is paid up.
(b) Besides the provisions of subsection (a) of this section, the fiscal lien existing on the date of sale of the transferable tax debts in default shall constitute the first lien on the property until said tax debts in default are totally paid up.
(c) As long as the fiscal liens provided for in subsections (a) and (b) of this section subsist, those real property taxes for the fiscal years following those covered by said liens shall constitute a fiscal lien in preference to any other, except for:
(1) The fiscal liens mentioned in subsections (a) and (b) of this section, and
(2) any liens constituted prior to the effective date of this act.
(d) Notwithstanding any provisions to the contrary contained in this chapter, the fiscal lien mentioned in subsection (a) of this section shall not have priority over the existing liens on the effective date of this act; Provided, however, That said limitation shall not affect the fiscal lien corresponding to economic year 1992-1993, in the event that said fiscal lien is in effect on the date of the sale of transferable delinquent tax debts pursuant to subsection (b) of this section.
History —June 26, 1997, No. 21, § 6; June 30, 1998, No. 105, § 3.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5925 - Persons eligible to purchase

(a) The Government Bank shall establish by regulations, the eligibility requirements which must be met by any person who is interested in purchasing transferable delinquent tax debts, including the following conditions:
(1) No person who owes any taxes to the Government of Puerto Rico, the municipalities or its agencies or instrumentalities shall be eligible.
(2) No person who, appears as owner of the properties subject to transferable delinquent tax debts in the files of the Center or the Property Registry, including any relative within the fourth degree of consanguinity or second degree of affinity, shall be eligible. Nor shall any person who has control, as said term is defined through regulations, over a debtor legal entity, be eligible.
(3) Any person who wishes to be declared eligible to purchase transferable tax debts in default shall provide the Center with:
(A) A sworn statement to the effect that he/she meets all eligibility criteria established by law and by the regulations of the Government Bank, and
(B) all documents needed to prove that said person is eligible.
(b) No purchaser of transferable tax debts in default shall transfer or assign these in any way whatsoever to those persons identified in the preceding paragraphs. Said purchaser shall state in the sales contract for the transferable tax debts in default that he/she does not plan to sell the credit for the tax debts in default transferred by said contract, to any ineligible third party.
(c) In the event that any sale is conducted in violation of the provisions of this section, the credit for the transferred tax debt shall revert to the Center, without the purchaser being entitled to reimbursement of the amounts paid. The purchaser shall also return any amount received from the taxpayer as payment for the transferred tax debt credit to the Center. Notwithstanding the above, the provisions of this subsection shall not prevent ineligible persons from owning a security backed by transferred tax debt credits.
History —June 26, 1997, No. 21, § 7; June 30, 1998, No. 105, § 4.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5927 - Cancellation or postponement of the sale

The Center may cancel or postpone any proposed sale prior to the date of the sale. The Center shall be bound to comply with the notice requirements imposed by § 5926 of this title before resuming the sale, unless the date of sale has been postponed for a term not greater than ten (10) days, in which case it shall not be necessary to comply again with the notification requirements of § 5926 of this title.
History —June 26, 1997, No. 21, § 9; June 30, 1998, No. 105, § 6.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5928 - Proceeding with the sale

The sale of the transferable tax debts in default may proceed or be resumed from day to day at the discretion of the Center, unless said sale has been canceled or postponed pursuant to § 5927 of this title, without the need to issue new notices until all transferable tax debts in default subject to the notices mentioned in § 5926 of this title have been sold.
History —June 26, 1997, No. 21, § 10.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5930 - Notice following the sale

Within the term of thirty (30) days from the date of the sale of the credit for the transferred tax debt, the Center shall notify said sale to the debtor taxpayers and the owners of the properties upon whom the credits for transferred tax debts fall, should they be other persons, as they are identified in the files of the Center or in the Property Registry. Said notice shall be sent by mail to the last known address of the debtor taxpayer or the owner of the property, should it be a different person, and it shall include:
(1) The date of sale;
(2) the name and address of the purchaser of the credit for the transferred tax debt;
(3) the total amount of the credit for the transferred tax debt;
(4) the duty of the taxpayer or the owner to pay the credit for the transferred tax debt;
(5) the right of purchaser to collect as indicated in §§ 5935–5944 of this title, and
(6) any other information which the Center may deem pertinent. The failure to comply with this notice shall not affect the validity of the sale of the credit for transferred tax debt.
History —June 26, 1997, No. 21, § 12; June 30, 1998, No. 105, § 8.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5931 - Deposit of the sales price

(a) The receipt of the sales price of transferable tax debts in default shall constitute the collection by the Center of the transferable tax debts in default and it shall be reflected in its registers or records as totally paid off.
(b) The Center shall deposit the amounts received for the credits for transferred tax debts, including those received by virtue of subsection (g) of § 5923 of this title, in the trust created by § 5803(c) of this title, and said amounts shall be applied pursuant to the provisions of § 5816 of this title, except that the Center shall deposit any amount received in payment of the credits for transferred tax debts belonging to the Government of Puerto Rico for fiscal years 1974-1975 to 1990-1991 in the General Fund of the Government of Puerto Rico, as may be fitting according to the law in effect at the time the tax was levied. If for any reason the amounts corresponding to other funds were to be deposited in the General Fund of the Government of Puerto Rico, the Department of the Treasury shall remit said amounts to the Center within a term of thirty (30) days from the date these were deposited. ln case other amounts corresponding to the General Fund of the Government of Puerto Rico were to be deposited in other funds, the Center shall remit said amounts to said Fund within the term of thirty (30) days from the date of the deposit.
History —June 26, 1997, No. 21, § 13.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5932 - Substitution or credits for transferred tax debts

(a) The Center, at its entire discretion, shall substitute:
(1) Any credit for the transferred tax debt for one or more transferable delinquent tax debts of equal value, or
(2) reimburse to the purchaser an amount equal to the transferred tax debt credit plus the interest accrued on such transferred tax debt credit pursuant to § 5933(c) of this title, or
(3) make a combination of both remedies in the following cases:
(A) If there are two (2) or more purchasers of the credit for transferred tax debts entitled to receive payments regarding the same property.
(B) If the owner of a certificate of sale is unable to collect the credits for transferred tax debts due to the circumstances mentioned in § 5935(d) of this title.
(C) If any of the credits for transferred tax debts is deemed invalid, null or defective, in whole or in part, by the final and binding decision of a competent court, or if deemed not to be in agreement with the representations and guarantees of the Center regarding the sale of said credits for transferred tax debts.
(b) Said substitution or reimbursement shall constitute the sole and exclusive remedy available to the purchaser.
(c) The Center shall comply with the notice requirements established in §§ 5926 and 5930 of this title when proceeding to substitute a transferred tax debt credit for another transferred tax debt credit.
History —June 26, 1997, No. 21, § 14; June 30, 1998, No. 105, § 9.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5933 - Rights of the purchasers

(a) The purchaser of credits for transferred tax debts shall have the same rights and obligations that the Center had in relation to them, unless otherwise provided in this chapter.
(b) The purchaser may initiate the procedure to compel compliance with the demand for payment of the credit for the transferred tax debt established in this chapter, after thirty (30) days from the expiration of the term granted by § 5930 of this title for notifying the sale of said credits, without the indebted amount having been paid.
(c) Once the credits for transferred tax debts become demandable pursuant to this section, the latter shall accrue interest compounded monthly in favor of the purchaser at the rate of fifteen percent (15%) per annum, the defense of usury shall not be claimed against the collection of said interest.
(d) Notwithstanding any provision to the contrary contained in § 5091 of this title, part of the Municipal Property Tax Act, should the Center receive property tax payments:
(1) In relation to the transferred tax debts;
(2) made by debtors whose delinquent tax debts have been transferred when the payment is in relation to the property on which said transferred tax debt is imposed, or
(3) of any taxpayer with regard to his/her property that is subject to transferred tax debts covered by the permanently fixed fiscal lien pursuant to § 5924 of this title, said payments shall be deemed as payments for the benefit of the purchaser of the credits for transferred tax debts and shall be immediately remitted to said purchaser, until said credits have been totally satisfied.
History —June 26, 1997, No. 21, § 15; June 30, 1998, No. 105, § 10.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5934 - Agreements for joint collection procedures

In case credits for transferred tax debts and other property tax debts in default exist, the Center may enter into any agreement with the owner of the credits for transferred tax debts, for the joint collection of the total tax debt by means of a single procedure as established in §§ 5101–5120 of this title.
History —June 26, 1997, No. 21, § 16.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5935 - Legal proceedings for the collection of credits for transferred tax debts

(a) If the credits for transferred tax debts are not paid within the period established in § 5933(b) of this title, the owner of the certificate of sale shall proceed to collect the same through the attachment and sale at public auction of the property of the indebted taxpayer or the owner of the property subject to the credit for transferred tax debt, in the manner prescribed below. Said legal proceedings, however, shall not be initiated after five (5) years have elapsed from the date in which the credits for the transferred tax debts become demandable by the purchaser pursuant to § 5933(b) of this title.
(b) The owner of the certificate of sale may execute the property subject to the certificate of sale or, at his/her discretion, seize any personal or real property of the indebted taxpayer which is not exempted from attachment and sell the same in order to pay the credit for a transferred tax debt, plus interest, surcharges and fees.
(c) The Center shall establish, through regulations, the conditions for holding the sale at public auction.
(d) The preceding provisions notwithstanding, the owner of the certificate of sale shall not proceed with the sale of real property in order to collect a credit for the transferred tax debt, should the latter belong to a taxpayer under eighteen (18) or over sixty-five (65) years of age, or to a person suffering from some terminal or permanently disabling disease who presents a medical certificate so stating, as said terms and circumstances have been defined by the regulations promulgated by the Center and provided the following requirements are met:
(1) That said property is the sole real property and permanent dwelling of the taxpayer, and
(2) that the taxpayer lacks sufficient assets or income to pay the total amount of the credit for the transferred tax debt.
The term established for canceling the filing of writs of attachment for taxes provided in § 2468 of Title 30 shall be suspended until the death of the taxpayer or until the condition which merited the postponement of the sale of the real property has ceased to exist.
(e) The sale to satisfy the transferred tax debt credit shall be subject to the provisions of homestead rights established by §§ 1851 et seq. of Title 31. The personal property listed in § 1130 of Title 32 shall be exempted from sale to satisfy the transferred tax debt credit.
History —June 26, 1997, No. 21, § 17; June 30, 1998, No. 105, § 11.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5937 - Auction notice

(a) The auction notice shall be published at least two (2) times once a week, in one (1) newspaper of general circulation in Puerto Rico and edicts shall be posted for two (2) weeks visibly displayed in three public places of the municipality where said sale is held, such as town hall, the courthouse and the police station. Said notice shall also be displayed at the internal revenue collection center and the public school closest to where the attached property is located. Said notice shall indicate the date, place and conditions under which the public auction is to be held. The cost of said notices and edicts, of the attorney’s fees incurred during the attachment procedure, of the fees incurred in the assessment of the property, and in the case of commercial properties, the costs related to the environmental condition of the property as well as the fees established in subsection (c) of § 5936 of this title, shall be collected as part of the costs for the sale at public auction and be paid to the owner of the certificate of sale. The owner of the certificate of sale shall keep a copy of said edicts and notices published in the newspapers, as well as of the sworn statements of the administrators of the newspapers in which said notices were published. Those documents shall constitute prima facie evidence of the auction notice.
(b) The sale at public auction shall be granted to the highest bidder once the auction notice has been issued, as provided in subsection (a) of this section, and the term of thirty (30) days following the date of the notice of attachment has elapsed without the taxpayer or the owner of the attached asset having paid up the total of credit for the transferred tax debt, plus the applicable interest, surcharges and fees thereon.
History —June 26, 1997, No. 21, § 19; Aug. 12, 2000, No. 177, § 3.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5938 - Sale of personal property at public auction

(a) The sale of personal property for the payment of the credit for transferred tax debt shall be conducted at public auction and, if the property items can be severed from one another or divided, the amount or portion of said attached personal property items which is strictly necessary to cover the payment of the credit for the transferred tax debt, plus interest, surcharges and fees thereon, shall be sold. Before initiating the sale of the personal property at public auction, the latter shall be appraised by a private appraiser who meets the requirements establish by the Center through regulations.
(b) The sale of personal property at public auction shall be conducted within sixty (60) days of the date the attachment is effected, and the minimum rate for awarding said auction shall be fixed at fifty percent (50%) of the amount of the appraisal.
(c) If the auction does not produce a closing bid or is not awarded, the attached personal property shall be awarded to the owner of the certificate of sale at the minimum rate of the appraisal and his/her credit shall be extinguished.
(d) In case the property is awarded to the owner of the certificate of sale or to a third party, the owner of the certificate of sale shall give the owner of the property an amount equal to the excess, if any, of the price or minimum rate of the award, as the case may be, on the credit for the transferred tax debt, plus interest, surcharges and fees.
(e) If the amount obtained from the sale at public auction to a third party is insufficient to cover the total amount of the credit for the transferred tax debt, plus the interest, surcharges and fees, the owner of the certificate of sale may collect the balance pending payment by attaching attachable real or personal property of the debtor taxpayer, following the legal proceedings for collection established in this chapter.
(f) When the bid price for the personal property sold is paid, delivery of the latter shall grant title and rights to the purchaser over said property. Once the credit for the transferred tax debt, plus the interest, surcharges and fees thereon has been satisfied, if any part of the attached personal property has not been sold, the owner of the latter shall be notified and the property shall remain at the site of the auction under the care and responsibility of said owner.
History —June 26, 1997, No. 21, § 20.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5940 - Notice of the result of the sale at public auction

(a) Within thirty (30) days from the date of the public auction, the owner of the certificate of sale shall notify the owner of the property sold and the debtor taxpayer, should it be another person, by certified mail, return receipt requested, the results of the auction, including the name and address of the purchaser, the sale price and the total excess amount, if any.
(b) If within the term of thirty (30) days from the date of the sale at public auction, the owner of the property sold should request payment of the excess, the owner of the certificate of sale shall deliver said excess to the latter, provided the owner of the property sold has ceded possession of the property or has agreed to said cession to the satisfaction of the acquirer. In said case, the right of redemption granted by § 5944 of this title shall be deemed as extinguished as soon as said amount in excess is delivered to the owner of the property sold or to his/her legal successors.
History —June 26, 1997, No. 21, § 22.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5941 - Extension or postponement of the sale at public auction

The owner of the certificate of sale or his/her representative shall continue the sale from day to day, if it is deemed necessary to do so, and for just cause, may extend said sale for a period not to exceed sixty (60) days, which must be notified pursuant to § 5937 of this title.
History —June 26, 1997, No. 21, § 23.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5942 - Prohibited sales

Should the owner of the certificate of sale sells or helps to sell any real or personal property, with knowledge of the fact that said property is exempted from attachment, or that the credits for the transferred tax debts for which said property has been sold have been paid up, or if in any other way he/she has restrained bidders from making their offers; or knowingly or intentionally has issued a purchase certificate of real property sold in such a manner, he/she shall incur a felony and upon conviction shall be sanctioned with a fine of five thousand dollars ($5,000) and the restitution of the value of the property, or by imprisonment for five (5) years, or both penalties at the discretion of the court; and he/she shall be subject to pay the injured party all damages caused by his/her actions, and all sales thus effected shall be null and void.
History —June 26, 1997, No. 21, § 24.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5943 - Certificate of purchase; registration; title

(a) Within the thirty (30) days following the date of the public auction of real property, the owner of the certificate of sale shall deliver to the purchaser a certificate of purchase. Said certificate of purchase shall contain the following information: the name, social security number and address of the purchaser; the date of the sale; the sales price; the amount of the credit for transferred tax debt plus interest, surcharges and fees; and a description of the property including the lot number and the folio and volume in which said property is registered in the Property Registry. The certificate of purchase shall also indicate that the purchaser made full payment of the sales price. Said certificate of purchase shall be authenticated before a notary public.
(b) If the right of redemption provided below is not exercised within the prescribed term, the certificate of purchase shall constitute absolute title of said property in favor of the purchaser, free of any liens or inferior rank encumbrance. The mortgages and other encumbrances with preference over the transferred tax debt credit shall continue to subsist without cancellation. The certificate of purchase shall be prima facie evidence of the facts indicated therein in any controversy, proceeding or suit which involves or concerns the rights of the purchaser, his or her heirs or assignees on the property transferred by virtue thereof. The purchaser, his or her heirs or assignees may present the certificate of purchase at the corresponding Section of the Property Registry for its registration upon payment of the corresponding fees.
History —June 26, 1997, No. 21, § 25; June 30, 1998, No. 105, § 13; Aug. 12, 2000, No. 177, § 4.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 256 - Sale of Transferable Tax Debts (§§ 5921 — 5944) › § 5944 - Right of redemption; procedure and term

(a) The person who owned the real property sold at auction, his/her heirs or assigns, can redeem the same within the term of thirty (30) days from the date of receipt of the notice of the results of the auction by paying the purchaser, his/her heirs or assigns, the total amount of the price paid, plus the cost of improvements and expenses incurred by the purchaser, if any, together with the fees accrued and taxes due up to the date of the redemption, to which twenty percent (20%) of all of the above shall be added as compensation to the purchaser.
(b) In order to redeem any property, the interested person must send a notice by certified mail, return receipt requested, to the owner of the certificate of purchase as stated in the notice sent pursuant to § 5940 of this title. The price of redemption shall be paid up within fifteen (15) days from the date the redemption notice was sent. If the owner of the certificate of purchase is not found, or if he/she should refuse to accept the redemption, the person interested in redeeming the property shall consign the price of redemption with the court before the expiration of said term, pursuant to the procedure for consignment provided in §§ 3180–3185 of this title.
(c) Once the price of the redemption has been paid, the person who redeems the property shall be entitled to receive from the purchaser, his heirs or assigns, the certificate of purchase mentioned in § 5943 of this title. The back of the purchase certificate shall contain a statement before a notary public indicating that the price of redemption was received. The person who redeems the property shall pay the notary public’s fee.
(d) The endorsement on the back of the certificate of purchase shall have the effect of a receipt of payment for all the claims of the owner of the certificate of purchase on the title of the real property. The person who redeems the property shall present the endorsed certificate of purchase at the Property Registry to be registered after paying the corresponding fees.
(e) The property thus redeemed shall be subject to all burdens, encumbrances, and legal claims against it, except for the credits for tax debts transferred to the same degree and form as if said property had not been sold.
History —June 26, 1997, No. 21, § 26.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 257 - Incentives Plan for the Payment of Property Tax Debt (§§ 5951 — 5963) › § 5951 - Definitions

For purposes of this chapter, the following terms shall have the meaning provided below:
(1) Bank.— Means the Government Development Bank for Puerto Rico, created under §§ 551 et seq. of Title 7.
(2) Interagency Committee.— Means the committee established under § 5051a of this title.
(3) Taxpayer or person.— Shall have the same meaning as that set forth in §§ 5001 et seq. of this title.
(4) CRIM.— Refers to the Municipal Revenue Collection Center, created under §§ 5801 et seq. of this title.
(5) Operations Office.— Refers to the CRIM’s Central Operations Office created temporarily for the effective term of this act under subsection (k) of § 5051a of this title.
(6) Commercial and industrial real properties.— Means any nonresidential property devoted to any activity for the production of income or by any trade or business.
History —July 2, 2010, No. 71, § 1.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 257 - Incentives Plan for the Payment of Property Tax Debt (§§ 5951 — 5963) › § 5952 - Granting of incentive on personal property

Any taxpayer, or any person acting on his/her behalf, who pays any outstanding personal property taxes to the CRIM within the term provided in this chapter shall be entitled to a discount on the total amount owed as established in § 5953 of this title.
History —July 2, 2010, No. 71, § 2.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 257 - Incentives Plan for the Payment of Property Tax Debt (§§ 5951 — 5963) › § 5953 - Amount of discount on personal property taxes

The amount to be discounted from the personal property taxes owed shall be one hundred percent (100%) of interest, surcharges, and penalties.
History —July 2, 2010, No. 71, § 3.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 257 - Incentives Plan for the Payment of Property Tax Debt (§§ 5951 — 5963) › § 5954 - Term for taxpayers to avail themselves of the incentive on personal property

The incentive on the payment of the tax debt granted under § 5952 of this title shall be in effect for a term of one hundred twenty (120) days from the effective date of the administrative order issued by the CRIM to implement this chapter.
History —July 2, 2010, No. 71, § 4.
2023 Laws of Puerto Rico › TITLE TWENTY-ONE - Municipalities (§§ 1-4 — 6756) › Subtitle 7 - Municipal Property Tax (§§ 5001 — 6756) › PART III (§§ 5901 — 6756) › Chapter 257 - Incentives Plan for the Payment of Property Tax Debt (§§ 5951 — 5963) › § 5955 - Conditions and limitations

The incentive being granted under this chapter shall be subject to the following conditions and limitations:
(a) The taxpayer must have paid taxes on personal and real property corresponding to Fiscal Year 2009-2010 (current debt) and shall certify to the CRIM his/her commitment to pay the taxes on personal and real property corresponding to Fiscal Year 2010-2011 within the term established in §§ 5001 et seq. of this title.
(b) The taxpayer must have paid the new Special Tax on Real Property imposed under Section 3701 of Act No. 120 of October 31, 1994, as amended, on all his/her residential real properties and nonresidential real properties devoted to any activity for the production of income or to any trade or business, regardless of how they are denominated.
History —July 2, 2010, No. 71, § 5.