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Rank #32
Puerto Rico

Puerto Rico

LocationCaribbean • UTC-4 • America/Puerto_Rico
Monthly Cost
$1,686
-23% vs USA
Internet
115 Mbps
Mobile Avg

Act 60 Individual Resident

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Designed for individuals seeking tax incentives by relocating to Puerto Rico. Offers a flat tax rate on Puerto Rico-sourced income.

Min. Income

$0/month

No minimum income requirement

Min. Income

Processing

1–2 Months

Average Time

Processing

Validity

Indefinite

As long as conditions are met

Validity

Citizenship

N/A

U.S. citizens retain citizenship

Citizenship
Info

Eligibility & Required Docs

Eligibility Requirements

  • CheckmarkMust become a bona fide resident of Puerto Rico
  • CheckmarkCommit to residing in Puerto Rico for at least 183 days per year
  • CheckmarkEngage in a qualifying business or investment activity

Required Documents

  • CheckmarkProof of residency (lease or property ownership)
  • CheckmarkTax compliance certificate
  • CheckmarkBusiness or investment plan
  • CheckmarkValid U.S. passport
Info

Residency Rules

Taxation

Residents under Act 60 are taxed at a flat 4% rate on Puerto Rico-sourced income. No federal income tax applies to this income.

Physical Presence

Must spend at least 183 days per year in Puerto Rico to maintain residency status.

Info

Advantages

  • Flat 4% tax rate on Puerto Rico-sourced income
  • No federal income tax on Puerto Rico-sourced income
  • Access to U.S. financial and legal systems
Info

Disadvantages

  • Must maintain bona fide residency
  • Limited to Puerto Rico-sourced income for tax benefits
  • Potential for increased scrutiny from U.S. IRS

Compare with

U.S. Virgin IslandsEconomic Development Commission
Cayman IslandsGlobal Citizen Concierge Program
BermudaWork from Bermuda Certificate