2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 15 - Puerto Rico Industrial Incentives Generally (§§ 10001 — 10855) › PART III - Other Tax Incentives (§§ 10401 — 10855) › Chapter 953 - Economic Incentives Act For The Development Of Puerto Rico (§§ 10641 — 10673) › Subchapter I - Economic Incentives (§§ 10641 — 10661) › § 10654 - Nature of the grants

(a) In general. — The tax exemption grants under this chapter shall be deemed to be a contract between the grantee, its stockholders, partners or owners, and the Government of Puerto Rico, and said contract shall govern both parties. Said contract shall be interpreted liberally, consistently with the purpose of this chapter of promoting the socioeconomic development of Puerto Rico. The Secretary of Economic Development shall have the discretion of including, on behalf and in representation of the Government of Puerto Rico, those terms and conditions, grants and exemptions, that are consistent with the purpose of this chapter and which promote the creation of jobs through the socioeconomic development of Puerto Rico, taking into consideration the nature of the application or action requested, as well as the facts and circumstances relative to each case in particular as these may apply.
(b) Obligation to comply with representation in application. — All tax-exempt businesses that hold a decree granted under this chapter shall carry out their exempted operations substantially as they represented these in their application, except when such operations have been varied by virtue of amendments that, by request of the grantee, the Secretary of Development has authorized pursuant to the provisions of this chapter.
(c) Administrative decisions, final. —
(1) All decisions and determinations of the Secretary of Development under this chapter, as to granting decrees and their contents, shall be final and binding and no judicial or administrative review or other recourse may overturn the same, unless specifically provided for otherwise. Provided, That once a decree has been granted under this chapter, no agency, public instrumentality, political subdivision, public corporation or municipality, whether autonomous or not, of the Government of Puerto Rico, other than the Secretary of Development or the Governor, may challenge the legality of such a decree or of any of its provisions.
(2) Any grantee adversely affected or prejudiced by any action taken by the Secretary of Development whereby an exemption decree under § 10653(e)(2) of this title is being revoked or cancelled, shall be entitled to a judicial review of such an action by presenting a writ for review before the Puerto Rico Court of Appeals within thirty (30) days after the final decision or adjudication of the Secretary of Development. During the processing of such a judicial review, the Secretary of Development is hereby authorized, when in his/her judgment the service of justice so requires, to postpone the date of effectiveness of any action taken by him/her under those conditions that so require and under the circumstances necessary to prevent irreparable damages. When such a postponement is requested and the same is denied, the court before which the review is requested, including the Puerto Rico Supreme Court, through a writ of certiorari, may decree any necessary and appropriate proceeding to postpone the date of effectiveness of any action taken by the Secretary of Development in order to preserve the status or rights of the parties until the completion of the review proceedings, with the prior posting of a bond in favor of the Secretary of the Treasury in the amount of the taxes not paid until then, plus interest and penalties, plus interest computed for a period of one (1) year at the prevailing legal rate.
(3) Any decision or ruling of the Puerto Rico Circuit Court of Appeals shall be subject to review by the Puerto Rico Supreme Court through certiorari requested by any of the parties as provided for under the law.
History —May 28, 2008, No. 73, art. 1, § 14, eff. July 1, 2008.