reglab/statecodes huggingface dataset:
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1042 - Imposition, Collection, and Person Liable (§§ 32021 — 32031) › § 32025 - Collection of the tax

(a) General rule.— Any merchant engaged in any business where taxable items subject to the taxes imposed under this part are sold shall be required to collect the sales tax as withholding agent, unless:
(1) Merchants engaged in a repair business, including services rendered under warranty, shall not be required to collect the sales tax if such service is provided to a registered merchant and the service is related to the business of the merchant acquiring the service; in this case, the merchant acquiring the service shall be liable for the sales and use tax in accordance with § 32024(a) of this title, or
(2) In the case of a person engaged in the manufacture of any taxable item, he/she may request, subject to the Secretary’s approval, and obtain a waiver whereby he/she shall be relieved from the requirement of collecting, withholding, and depositing the tax imposed under this part in sales of taxable items to a wholesale distributor, as identified in the waiver.
(b) Any merchant required to collect the sales tax provided in this part shall record it separately in any receipt, invoice, stub, or other evidence of sale, except as provided in § 32026 of this title. In case of the sale of admission tickets, any merchant shall prominently display in the ticket booth, or other place where admission tickets are sold, a notice indicating the admission price and the sales tax which shall be computed and collected on the basis of the price of admission charged by the merchant.
(c) The tax shall constitute, together with the sales price, evidence of indebtedness of the purchaser to the merchant until it is paid, and it may be collected by law in the same manner other debts are collected. The taxes imposed under this part shall become funds of the Government at the time they are collected.
(d) Except as otherwise specifically provided in this part, any merchant who refuses, fails, or neglects to collect the sales tax for each and every retail sale of a taxable item made by the merchant, agents, or employees shall be liable for the payment of the taxes imposed in this part.
(e) A merchant engaged in any business where taxable items are sold subject to the taxes imposed under this part may in no way publicly announce or express that he/she shall directly or indirectly absorb all or part of the tax; or that he/she shall relieve the purchaser from the payment of all or part of the sales tax; or that the tax shall not be added to the sales price; or that, when it is added, the tax or part thereof shall be reimbursed, directly or indirectly, by any means.
History —Jan. 31, 2011, No. 1, § 4020.05, retroactive to Jan. 1, 2011; June 30, 2013, No. 40, § 35.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1042 - Imposition, Collection, and Person Liable (§§ 32021 — 32031) › § 32026 - Collection of the tax together with the sales price

(a) When it is impractical, due to the nature of the business, to meet the requirements of § 32025(b) of this title, the Secretary may exempt the merchant, motu proprio or through a prior request to that effect, from meeting with said requirement, and require or authorize that the merchant reflect the sales tax together with the sales price.
(b) In the case mentioned in subsection (a), the taxes to be paid on taxable items shall be computed by subtracting from the total gross sales for the applicable period of the report, the total taxable sales for the same period. The taxable sales shall be determined by dividing the gross sales by one point zero seven (1.07).
History —Jan. 31, 2011, No. 1, § 4020.06, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1042 - Imposition, Collection, and Person Liable (§§ 32021 — 32031) › § 32027 - Collection of sales tax on sales for resale or on sales to an eligible reseller

(a) A duly registered merchant may be relieved from the requirement of collecting, withholding, and depositing the tax imposed under this part on the sale of taxable items acquired exclusively for resale to merchants who hold a certificate of exemption duly issued by the Secretary, carried out before August 1, 2013.
(b) Except as otherwise provided in this part, any merchant who makes, before August 1, 2013, a sale for resale to a holder of a certificate of exemption shall document the exempt nature of the transaction by keeping a copy of the certificate of exemption of the purchaser, or through any other method prescribed by the Secretary.
(c) Acquisition of articles for resale delivered after July 31, 2013.—
(1) Waiver.— A taxable item acquired exclusively for resale by merchants who hold a certificate of exemption duly issued by the Secretary shall qualify for the waiver of the collection of sales and use tax provided in this section, if the item is ordered and paid by the purchaser before August 1, 2013.
(2) Obligation of seller.— Any merchant who, before August 1, 2013, makes a sale for resale that meets the requirements of clause (1) of this subsection, to the holder of a certificate of exemption for delivery after July 31, 2013, shall document the exempt nature of the transaction by keeping a copy of the certificate of exemption of the purchaser, or through any other method prescribed by the Secretary.
(d) A duly registered merchant may be relieved from the requirement of collecting, withholding, and depositing the tax imposed in this part on the sale of taxable items to merchants holding a certificate of eligible reseller duly issued by the Secretary, in accordance with § 32052 of this title.
(e) Any merchant who does not hold a certificate of exemption or a certificate of eligible reseller who acquires merchandise subject to the sales tax imposed in this part shall be required to pay the sales tax at the time of the purchase.
History —Jan. 31, 2011, No. 1, § 4020.07, retroactive to Jan. 1, 2011; June 30, 2013, No. 40, § 36.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1042 - Imposition, Collection, and Person Liable (§§ 32021 — 32031) › § 32028 - Collection of the sales tax on sales delivered by mail

(a) Any merchant engaged in the business of mail-order sales is subject to the requirements of this part for the collection of sales tax, provided that no payment or charge shall be imposed on said merchant for conducting any of the activities required.
(b) The Secretary shall, with the consent of other jurisdictions of the United States whose cooperation may be necessary, enforce this part in that jurisdiction, directly or by choice of the jurisdiction through its officials or employees.
(c) The tax to be collected pursuant to this part and any other amount, be it part of the tax or not, that is not returned to a purchaser but that was collected from the purchaser under the representation that it was a tax, constitute funds of the Government of Puerto Rico from the moment of their collection.
History —Jan. 31, 2011, No. 1, § 4020.08, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1042 - Imposition, Collection, and Person Liable (§§ 32021 — 32031) › § 32029 - Necessary evidence and presumption of correctness

(a) Presumption of taxable acquisition. — It shall be presumed that any purchaser that acquires taxable items from a merchant for delivery in Puerto Rico, shall have done so for use, consumption, or storage in Puerto Rico, unless said person submits evidence to refute said presumption.
(b) Presumption of correctness. — The determinations made by the Secretary regarding the administration of this part shall be presumed to have administrative procedural correctness before the courts.
(c) Presumption of exemption. — It shall be presumed that any person who acquires taxable items from a merchant for delivery in Puerto Rico by submitting a valid certificate of exemption is entitled to enjoy the exemption therein granted. A merchant who trusts in said certificate shall not have to require additional documentation to validate said presumption.
History —Jan. 31, 2011, No. 1, § 4020.09, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1042 - Imposition, Collection, and Person Liable (§§ 32021 — 32031) › § 32030 - Limitation for fixing taxes

Except as provided in §§ 33001 et seq. of this title, no municipality, whether autonomous or not, of the Government of Puerto Rico may impose or collect any excise or tax whatsoever on items, services, taxable items, or transactions that are subject to or exempt from the sales and use tax established in §§ 33001 et seq. of this title.
History —Jan. 31, 2011, No. 1, § 4020.10, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1042 - Imposition, Collection, and Person Liable (§§ 32021 — 32031) › § 32031 - Taxable items acquired by internal revenue agents

(a) Power to rescind a transaction. — Any Internal Revenue Agent who, in the performance of his/her official duties, acquires taxable items in any commercial establishment or business, and makes the corresponding payment, may rescind the transaction once the corresponding payment has been made, whether or not he/she receives a sales receipt. In this case, the merchant or vendor shall be required to return the amount collected in the transaction, and the agent must return the taxable item, provided that the sales transaction and the rescission and return of the purchased item occur within the same calendar month.
(b) This section shall not apply in the case of taxable merchandise that, due to its nature, cannot be returned to the merchant or merchant to be sold later.
(c) Imposition of administrative fine. — Any merchant or merchant who refuses to return to the Internal Revenue Agent the amount collected in the transaction of taxable merchandise that said agent opts to rescind, including the sales tax collected in said transaction, if any, shall be subject to the administrative fine provided in §§ 33001 et seq. of this title.
History —Jan. 31, 2011, No. 1, § 4020.11, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32051 - Exemptions.—Powers of the Secretary

(a) The Secretary is empowered to establish, through regulations or otherwise, conditions with respect to the granting of certificates of exemption from payment or withholding of the tax fixed in this part. In order to ensure due compliance with the terms, provisions, and purposes by virtue of which the exemption is granted, the Secretary may impose, among any others he/she may deem necessary, the following requirements and conditions:
(1) To demand that the taxpayer file tax returns and reports, keep accounting books and files, and present any document or evidence deemed pertinent to the exemption claimed or granted, as the case may be.
(2) To require the posting of a bond for the amount of the exemption requested, and any administrative fine, surcharge, or interest that may be imposed pursuant to this part.
(3) To require authorization for conducting periodic inspections or other types of ascertainments (including via control terminals, applications, or other electronic media) to, among others, points of sale, commercial locations, vans, containers, warehouses, storage areas, and exhibition areas, with regards to taxable items.
(4) To require the prior filing of contracts, orders, or other information related to the permits to transfer or sell taxable items.
(b) If a person uses a certificate of exemption from the payment of the tax established in this part for the acquisition of taxable items and subsequently uses, stores, or consumes the latter for nonexempt purposes, he/she shall be liable for the payment of the tax established in this part.
History —Jan. 31, 2011, No. 1, § 4030.01, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32053 - Exemptions for export

(a) Except for the reciprocity requirement concerning the collection of sales and use taxes in Puerto Rico provided in this part, the taxable items sold for use or consumption outside Puerto Rico shall be exempt from the payment of the sale and use tax established in this Subtitle, even when the sale takes place in Puerto Rico. In order for the taxable items thus sold to be exempt from the taxation, they must be exported within sixty (60) days as of the date of sale.
(b) The sale or transfer of tobacco or cigarettes to foreign-registered ships and to United States ships, to warships from foreign countries and to vessels from foreign countries that pay courtesy visits to Puerto Rico shall be treated as sales for use or consumption outside Puerto Rico for purposes of subsection (a) of this section.
(c) Subject to the provisions of §§ 33001 et seq. of this title, the Secretary may extend the time limit established in subsection (a) of this section for a taxpayer to export taxable items.
History —Jan. 31, 2011, No. 1, § 4030.03, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32054 - Exemptions for taxable items in transit

(a) Any “taxable item” temporarily introduced into Puerto Rico that is directly related to film production, construction, trade shows, conventions, seminars, or for other purposes, and that is re-exported from Puerto Rico, shall be exempt from the payment of the use tax.
(b) Any person who claims the exemption established in subsection (a) of this section must request said exemption from the Secretary by presenting the information provided by regulations.
History —Jan. 31, 2011, No. 1, § 4030.04, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32055 - Exemption for promotional giveaways

(a) Any tangible personal property which is considered to be giveaways in accordance with this section shall be exempt from the payment of the use tax.
(b) Promotional giveaways are defined as any tangible personal property that is handed out free of charge for promotional purposes by a promoter, exhibitor, as such term is defined in § 32144 of this title, or by a meeting or conference planner to a participant at conventions, trade shows, forums, meetings, incentive trips, and conferences.
(c) The prizes, gifts, emoluments, or awards granted as part of incentive trips or recognitions shall be covered under the provisions of this section.
History —Jan. 31, 2011, No. 1, § 4030.05, retroactive to Jan. 1, 2011; Dec. 10, 2011, No. 232, § 141.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32056 - Exemptions on items for manufacture

(a) All manufacturing plants shall be exempt from the payment of the sales and use tax established in this part for the purchase of:
(1) “Raw materials”, including hydraulic cement, and
(2) the “machinery and equipment used in manufacture” for the production of finished products or used in the manufacturing process of said products, including, but not limited to the electric power process.
(b) Manufacturing plants shall also be exempt from the sales and use tax with respect to the items for which an exemption from the payment of excise taxes is provided in § 10649(a) of this title, known as the “Economic Incentives Act for the Development of Puerto Rico”, or any similar provision of any analogous preceding law, or under any law that substitutes it.
(c) In order to enjoy the exemption provided in this section, the manufacturing plant shall, as established through regulations, request the appropriate certificate of exemption from the Secretary.
(d) Any person entitled to claim the exemption herein granted shall certify to the merchant his/her condition as exempt person through the mechanisms provided [for] such purposes by the Secretary.
History —Jan. 31, 2011, No. 1, § 4030.06, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32057 - Items sold at shops in airport or ship terminals to persons leaving Puerto Rico

(a) The taxable items available for sale in shops established in airport or ship terminals to persons traveling outside the jurisdictional boundaries of Puerto Rico shall be exempt from the sales and use tax. This exemption shall be granted when the shop that sells such items holds the license required to operate that type of business and meets with the requirements established by the Secretary for the sale of taxable items free from the payment of taxes as well as with the regulations adopted for granting said exemption.
(b) Any person entitled to claim the exemption herein granted shall certify to the merchant of his/her condition as an exempt person through the mechanisms provided such purposes by the Secretary.
History —Jan. 31, 2011, No. 1, § 4030.07, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32058 - Exemption on taxable items acquired by government agencies

(a) Any taxable item acquired for official use by the agencies and instrumentalities of the Government of the United States of America and the Government of Puerto Rico shall be exempt from the payment of the sales and use tax imposed in this part.
(b) Those taxable items that have enjoyed the exemption provided in this section and that are subsequently sold, transferred, or otherwise alienated, shall be subject to the taxation under this part. The person who sells, transfers, or otherwise alienates the taxable items shall have the obligation to:
(1) Require from the person who acquires the taxable items, prior to their delivery, evidence of:
(A) Payment of the sales and use tax on the taxable items, or
(B) being a government agency entitled to the exemption provided in this section; and
(2) notify the Department of said sale, transfer, or alienation within five (5) business days as of the date of the sale, transfer, or alienation in the form provided by the Secretary for such purposes.
(c) The exemption provided in subsection (a) of this section shall apply to items acquired by the Department of the Treasury to be awarded as prizes under the sales and use tax oversight program.
(d) The provisions of subsection (b) of this section notwithstanding, the transfer of a taxable item exempt as per subsection (c) of this section, and which is subsequently sold, transferred, or in any way alienated, shall not be subject to taxation under this part.
History —Jan. 31, 2011, No. 1, § 4030.08, retroactive to Jan. 1, 2011; June 30, 2013, No. 40, § 38.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32059 - Exemption on taxable items that constitute moving

(a) Any individual who is not a resident of Puerto Rico, as well as those persons serving in the Armed Forces of the United States of America or the Government of Puerto Rico who are officially transferred to serve in Puerto Rico and who are interested in establishing or reestablishing their residence in Puerto Rico, shall be entitled to introduce, free from the payment of the sales and use tax established in this part, the used taxable items which reasonably and effectively constitute part of the moving process and which belong to said person, as well as to the other family members who accompany him/her.
(b) In the case of persons serving in the Armed Forces of the Government of the United States of America or the Government of Puerto Rico who are officially transferred to serve in Puerto Rico, the exemption provided in subsection (a) of this section shall apply to the other family members who accompany them. For these purposes, the term “family members” shall mean the father, mother, or any other relative under the immediate custody of the person in the military who has to return to Puerto Rico because said servicemember has been called to serve at a place where the family member cannot be taken.
(c) Military personnel who live alone abroad, without their spouse, or who have no dependents whatsoever through which they may introduce the taxable items into Puerto Rico, may remit them to their spouse or nearest relative, accompanied by a certified copy of their transfer orders.
History —Jan. 31, 2011, No. 1, § 4030.09, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32060 - Exemption on admission fees

(a) The admission fees to athletic events and other types of events sponsored by public or private elementary and secondary schools and high schools, universities or colleges engaged in rendering educational services shall be exempt from taxation under this part.
(b) Any person interested in claiming the exemption herein granted must be duly registered according to the provisions of § 32141 of this title.
History —Jan. 31, 2011, No. 1, § 4030.10, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32061 - Exemption on food

The following foods shall be exempt from the payment of the sales tax:
(a) Foods and food ingredients as defined in § 32001(a) of this title;
(b) prepared foods served to patients or residents at any hospital or any other physical facility or facility designed and operated primarily for the care of sick, elderly, frail, physically or mentally disabled persons, or who require special care and attention, provided that they constitute a part of a combined transaction for the sale of health or medical and hospital services;
(c) prepared foods served to students in school cafeterias and those that constitute a part of a combined transaction for the sale of educational services, and
(d) prepared and served foods, provided that they constitute a part of a combined transaction for the charges for room occupancy subject to the tax imposed by the Puerto Rico Tourism Company.
History —Jan. 31, 2011, No. 1, § 4030.11, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32062 - Exemption on prescription medications

(a) Drugs for human consumption that may be acquired solely and exclusively by medical prescription (known as “Rx products”), including containers and safety lids, labels, and bags that are essential for the sale of prescription drugs shall be exempt from taxation under this part.
(1) Prescribed by a physician licensed to practice the medical profession in Puerto Rico and dispensed by a pharmacist licensed in Puerto Rico.
(2) Given or sold to physicians, surgeons, dentists, or podiatrists who hold a valid license for the treatment of their patients.
(3) Given by a hospital unit or health facility for the treatment of patients following the orders of a physician licensed to practice medicine in Puerto Rico.
(b) The following items shall also be exempt from the payment of the sales and use tax provided by this part:
(1) Hypodermic needles, hypodermic syringes, chemical compounds used for treating diseases, ailments, or injuries in humans generally sold for curing, mitigating, treating, or preventing diseases or ailments, whether for external or internal, use in human beings;
(2) prostheses;
(3) insulin;
(4) oxygen, and
(5) any device used for medical treatment and that qualifies for total or partial reimbursement by Medicare, Medicaid, the Government of Puerto Rico Health Insurance, or by a health insurance contract or premium issued by a person authorized to underwrite health service insurance or contracts in Puerto Rico.
(c) The exemption herein provided does not include cosmetics or toiletries, regardless of the presence of ingredients classified as medications in these products.
History —Jan. 31, 2011, No. 1, § 4030.12, retroactive to Jan. 1, 2011; Dec. 10, 2011, No. 232, § 142; June 30, 2013, No. 40, § 39; Dec. 16, 2014, No. 211, § 1.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32063 - Exemption on items and equipment for persons with disabilities to compensate for physical and physiological deficiencies

(a) The items and equipment specifically designed to compensate for physical and physiological deficiencies in “persons with disabilities”, as said term is defined in §§ 831 et seq. of Title 8, known as the “Assistive Technology Programs Act”, and in §§ 512 et seq. of Title 1, known as the “Bill of Rights of Persons with Disabilities”, shall be exempt from taxation under this part.
(b) The exemption herein provided also contemplates assistive technology equipment, which includes any device, part of equipment, or system, be it original, modified, or adapted, used to maintain, increase, or improve the abilities of a “person with disabilities”.
The aforementioned equipment includes the following: wheelchairs, motorized wheelchairs, motorized equipment used for mobility, adapted computers, electronic communication equipment, adapted computer software, mechanical equipment for reading, and earphones, among others.
(c) Any person entitled to claim the exemption herein granted shall certify to the merchant his/her condition as an exempt person through the procedures provided by the Secretary to such effects.
History —Jan. 31, 2011, No. 1, § 4030.13, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32064 - Exemption on real property leases

The following shall be exempt from the sales and use tax:
(a) The rent for leasing real property paid by a lessee to a lessor on that which constitutes the main residence of the lessee or student housing; and
(b) the payment for leasing real property for commercial purposes, made by a merchant, including the payment for office spaces or sales offices, warehouses or storage areas, and parking facilities.
History —Jan. 31, 2011, No. 1, § 4030.14, retroactive to Jan. 1, 2011; Dec. 10, 2011, No. 232, § 143.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32065 - Exemption on services rendered by child day care centers

Day care services provided by child day care centers authorized by the Department of the Family, to wit, enrollment fees and monthly payment attributable to such day care, shall be exempt from taxation under this part. This exemption shall not apply to payment for educational and recreational services.
History —Jan. 31, 2011, No. 1, § 4030.15, retroactive to Jan. 1, 2011; June 30, 2013, No. 40, § 40.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32066 - Exemption on funeral services

Funeral services up to the amount of four thousand dollars ($4,000) are hereby exempt from the payment of the sales and use tax. It shall be understood that funeral services are those services, whether combined or individually, that are provided by a funeral home for the wake and final disposition of a human body, such as, but not limited to registration of death certificate, obtaining burial permits, embalming, use of facilities or personnel, recovery or transfer of the body, use of hearse and flower car, preparation of the body, treatment for transfer overseas, cremation, including the purchase of a plot in the case of cemeteries, and any others related to the same purposes. The casket shall be included in the funeral services. The excess of the amount herein provided shall be subject to the payment of the sales and use tax.
History —Jan. 31, 2011, No. 1, § 4030.16, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32067 - Exemption on solar powered equipment

Solar powered equipment used to produce electric power, including any parts and accessories thereof, provided that they are necessary for the solar powered equipment to meet its purposes, shall be exempt from the sales and use tax. In order to qualify for this exemption, the dealer or manufacturer shall submit a certification to the Department of the Treasury indicating that the solar powered equipment, or the parts and accessories thereof, comply with the standards and specifications established by the Energy Affairs Administration, as well as a certification indicating that the solar powered equipment is guaranteed for five (5) years or more.
History —Jan. 31, 2011, No. 1, § 4030.17, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32068 - Repealed. Act June 30, 2013, No. 40, § 41, effective June 30, 2013

History —Jan. 31, 2011, No. 1, § 4030.18, retroactive to Jan. 1, 2011; Repealed. Act.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32069 - Exemptions on machinery, surgical material, supplies, items, equipment, and technology used in the rendering of health services

(a) Every health service facility covered under the provisions of §§ 371 et seq. of this title, known as the “Hospital Facilities Tax Exemption Act,” or a subsequent similar law, shall be exempt from the sales and use tax set forth in this Subtitle for the purchase of items acquired to be used exclusively in said facility such as machinery, medical and surgical materials, supplies, devices, equipment, and technology used exclusively to provide healthcare services during the process of diagnosis and treatment for human diseases.
(b) Any health service facility that enjoys tax exemption benefits under the provisions of § 30471(a)(2) of this title, granted to nonprofit entities, shall be exempt from the payment of the sales and use tax set forth in this part in the purchase of items acquired for exclusive use of the facilities, such as machinery, surgical material, supplies, items, equipment, and technology used in rendering health services during the process of diagnosing and treating diseases in human beings.
(c) In order to enjoy the exemption provided in this section, the health service facility shall, as established by regulations, request the appropriate certificate of exemption from the Secretary.
(d) Every person entitled to claim the exemption granted herein shall certify to the salesperson his/her status of exempt person by the mechanism provided to such effects by the Secretary.
(e) Notwithstanding the foregoing, this exception shall not cover machinery, construction materials, equipment, furniture, and office supplies used in whole or in part in the administrative or commercial phase, (including parking space, medical office buildings, and drugstores) or to provide maintenance in the physical facilities of the hospital unit.
History —Jan. 31, 2011, No. 1, § 4030.19, retroactive to Jan. 1, 2011; June 30, 2013, No. 40, § 42.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1043 - Exemptions (§§ 32051 — 32071) › § 32071 - Exemption for sales made by churches

(a) There shall be exempt from the sales and use tax any retail sales and occasional services described in subsection (b) of this section conducted by churches or religious organizations described in § 30471(a)(1) of this title to raise funds for capital works and improvements for their facilities, activities directly related to their ministry, as well to support charities and offer services that promote the development of social welfare programs. Services that are supported with funds generated from these exempt sales shall be provided free of charge to the community.
(b) Retail sales are described in this subsection as defined in § 32001(tt) of this title, or occasional services, as defined by the Secretary through regulations, circular letter, information bulletin, or administrative determination of a general nature, provided that such sales are conducted and such services are rendered within the premises where the place of worship is located, that is to say, the church, chapel, sanctuary, temple, mosque, or structure of a similar nature; and
(1) All works related to the sale conducted or occasional service rendered for a church or religious organization without any compensation; or
(2) consisting of the sale of religious items or merchandise that has been received by a church or religious organization as a donation or contribution.
(c) The following are expressly excluded from the application of this section, regardless of whether they may be owned or operated by churches or religious organizations described in § 30471(a)(1) of this title:
(1) Bookstores, cafeterias, or shops operated in or for colleges, academies, or schools;
(2) Nursing homes or senior housing;
(3) Museums;
(4) Bookstores, cafeterias, flower shops, or shops operated in or for hospitals or funeral homes; and
(5) Any other trade or business similar in nature.
History —Jan. 31, 2011, No. 1, added as § 4030.21 on June 14, 2012, No. 118, § 1.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1044 - Terms and Means of Payment (§§ 32091 — 32104) › Subchapter A - Returns and Reports (§§ 32091 — 32092) › § 32091 - Accounting method

For purposes of this part, all merchants shall use the same accounting method they use to report their income in their income tax returns. In any case, the responsibility for the merchant’s payment of the sales and use tax shall begin the moment he/she receives payment from the client. In the case of nonprofit entities, they shall use the accounting method used to keep their accounting books.
History —Jan. 31, 2011, No. 1, § 4041.01, retroactive to Jan. 1, 2011; Sept. 19, 2014, No. 159, § 8.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1044 - Terms and Means of Payment (§§ 32091 — 32104) › Subchapter B - Payment (§§ 32101 — 32104) › § 32101 - Remittance of the sales and use tax

The remittance to the Secretary of the taxes imposed under this part shall be made as provided below:
(a) By the merchant, except in the case covered in subsection (b), as provided in § 32103 of this title.
(b) In the case of merchants who collect the sales tax in representation of other merchants under a billing and collection agreement, the person liable for remitting the taxes to the Secretary shall be the person who acknowledges the sale in his/her books according to generally accepted accounting principles.
(c) By the person who uses, consumes, or stores taxable items in Puerto Rico, as provided in § 32103 of this title.
History —Jan. 31, 2011, No. 1, § 4042.01, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1044 - Terms and Means of Payment (§§ 32091 — 32104) › Subchapter B - Payment (§§ 32101 — 32104) › § 32102 - Payment of sales tax computed together with the sales price

The taxes to be paid on taxable items computed pursuant to § 32026 of this title shall be remitted to the Department by the operator or the merchant.
History —Jan. 31, 2011, No. 1, § 4042.02, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1044 - Terms and Means of Payment (§§ 32091 — 32104) › Subchapter B - Payment (§§ 32101 — 32104) › § 32103 - Time to remit the sales and use tax

(a) In general.— The taxes imposed in this part shall be payable to the Secretary by the person liable for issuing the payment, not later than the tenth (10th) day of the month following the month in which the transaction subject to taxation was carried out, or on that other date or manner, as established through regulations promulgated by the Secretary regarding the manner, time, and conditions that shall govern the payment or deposit of said withheld taxes.
(b) Electronic deposits or those in excess of twelve thousand dollars ($12,000).— Those merchants whose deposits of the tax imposed under this part for the preceding taxable year exceed twelve thousand dollars ($12,000), or who are required by the Secretary through regulations to make their tax payments via electronic transfer, shall make the payment not later than the (10th) day of the month following the calendar month in which the transactions subject to taxation were carried out, or in any other date or manner established through regulations, circular letters, or administrative determinations promulgated by the Secretary. Any change in the date or manner of the tax deposit shall be notified at least ninety (90) days in advance.
(c) Electronic deposits or those in excess of twelve thousand dollars ($12,000).— Merchants whose deposits of the tax imposed under this part for the preceding taxable year exceed twelve thousand dollars ($12,000), and those who are required by the Secretary, through regulations, to make their tax payments via electronic transfer, shall remit the payment not later than the tenth (10 th) day of the month following the calendar month in which the transactions subject to taxation were carried out, or in any other date or manner established through regulations, circular letters, or administrative determinations promulgated by the Secretary. Any change in the date or manner of payment of the tax shall be notified within at least ninety (90) days in advance.
(d) The deadline to remit the tax on taxable items subject to use tax imported into Puerto Rico shall be that provided in subsection (c) of § 32092 of this title.
History —Jan. 31, 2011, No. 1, § 4042.03, retroactive to Jan. 1, 2011; June 30, 2013, No. 46, § 6.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1044 - Terms and Means of Payment (§§ 32091 — 32104) › Subchapter B - Payment (§§ 32101 — 32104) › § 32104 - Payment method

(a) The taxes imposed in this part shall be paid by postal money order or bank draft, legal currency, credit card, debit card, electronic transfer, or any other method as provided by the Secretary through regulations.
(b) Any merchant whose sales volume is equal to or greater than one hundred thousand dollars ($100,000) annually, as reported in the Registry for Merchants Application or the Monthly Sales and Use Tax Return, shall remit the sales and use tax through electronic transfer. The acceptable transfer method regarding the manner and contents of the electronic transfer of funds shall be established by the Secretary.
(c) The Secretary may require the merchant who issues a check that is returned by the bank for insufficient funds to make subsequent payments through certified, official, or cashier’s checks.
(d) When the due date of the tax payment is not a business day, the payment shall be made the following business day.
(e) The Secretary shall accept all payments as remitted on time if they are postmarked not later than the tenth (10th) day of the month following the month in which said taxes are collected or the month following the month in which the transaction subject to taxation was carried out, as the case may be. Should the tenth (10th) day fall on a Saturday, Sunday, or Federal or Commonwealth holiday, the payments shall be accepted if they are postmarked on the following business day. Those payments that the Secretary requires to be electronically transferred must be received not later than the tenth (10th) day of the month following the month in which said taxes are collected or the month following the month in which the transaction subject to taxation was carried out, as the case may be, or on the date established by the Secretary through regulations, pursuant to § 32103 of this title, whichever is applicable.
History —Jan. 31, 2011, No. 1, § 4042.04, retroactive to Jan. 1, 2011; June 30, 2013, No. 40, § 44.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1045 - Deduction, Credit and Refund (§§ 32121 — 32130) › § 32121 - Deduction for return of taxable items

(a) Refund to purchaser. — When the merchant receives taxable items returned by a purchaser from whom said merchant withheld the taxes under this part, the merchant must return the amount of the tax collected from the purchaser in the manner provided by the Secretary.
(b) Deduction to merchant. — When the merchant, pursuant to subsection (a) of this section, receives taxable items returned by a purchaser, he/she may deduct the sales price of said returned taxable items from the total gross sales he/she must report in the monthly sales and use tax return of the month in which the return was made.
(c) At the time any returned taxable item is sold, the sale shall be subject to the sales tax imposed in this part.
History —Jan. 31, 2011, No. 1, § 4050.01, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1045 - Deduction, Credit and Refund (§§ 32121 — 32130) › § 32122 - Credit for the sale of merchant’s property

A registered merchant who has purchased a taxable item for his/her own use, consumption, or storage, and who has paid the sales and use tax and sells said item subsequently without having used the same, shall be entitled to a credit for the amount paid on account of the use tax on the taxable item in the manner provided by the Secretary.
History —Jan. 31, 2011, No. 1, § 4050.02, retroactive to Jan. 1, 2011.
2023 Laws of Puerto Rico › TITLE THIRTEEN - Taxation and Finance (§§ 1 — 33423) › Subtitle 17 - Internal Revenue Code of 2011 (§§ 30001 — 33423) › PART V - Sales and Use Tax (§§ 32001 — 32171) › Chapter 1045 - Deduction, Credit and Refund (§§ 32121 — 32130) › § 32123 - Credit for uncollectible accounts

(a) In general. — A merchant who has paid the taxes provided in this part on taxable items under the accrual method may claim a credit in the subsequent monthly sales and use tax return for those taxes paid by the merchant on the amount of uncollectible accounts.
(b) Conditioned sales. — When a merchant has paid the tax established in this part on a taxable item sold and repossesses (with or without a judicial proceeding) the taxable item, he/she may claim a credit in the subsequent monthly sales and use tax return for an amount equal to the taxes attributable to the balance due that becomes uncollectible for said merchant.
(c) Recovery. — In the case of the recovery of uncollectible accounts for which the merchant had claimed a credit, the amount recovered shall be included as a “gross sale” in the subsequent monthly sales and use tax return the merchant shall file after said recovery, and the merchant shall then pay the appropriate tax.
History —Jan. 31, 2011, No. 1, § 4050.03, retroactive to Jan. 1, 2011.