Tax Exemptions under
Act 60

As noted, export services are eligible services rendered to persons located outside of Puerto Rico. However, to qualify for the exemption, services rendered cannot have a connection with Puerto Rico. Services are considered to have a connection with Puerto Rico if they are related to commercial or for-profit activities carried out in Puerto Rico, or advice regarding the laws and regulations of Puerto Rico, as well as procedures and administrative orders of the Government of Puerto Rico and its agencies, among others.

Moreover, any entity engaged in an export commerce activity must generate at least 80% of its gross income from this activity.

Many services are considered eligible export services. For example, qualified services include advertising and public relations, call centers, marketing centers, shared service centers, consulting, corporate headquarters, creative industries (design, art, music, publications, development of apps and video games, creative education), education services and training, electronic data processing centers, engineering, development of computer programs, computing or blockchain, income from licensing, subscriptions or charges for services, investment banking and other financial services (including advisory and broker dealer operations), architecture, project management, hospital and laboratory services including telemedicine, voice and data telecommunications, professional services (law and accounting), and research and development.

In addition, export services include assembly, bottling and packaging of products for export, commercial and mercantile distribution of products manufactured in P.R., commissions on the sale of products to customers outside P.R., purchase of products for resale to customers outside P.R., sale of intangible products to customers outside P.R., and storage and distribution centers.