Puerto Rico Adds More Extensions to Due Dates and Deadlines as Result of Hurricane Maria
Tuesday, October 24th, 2017
The Puerto Rico Department of Treasury (DOT) recently released an Information Bulletin 17-25, which further extends multiple sales-tax-related due dates. This bulletin also provides information on renewals, deadlines, and requirements for audit information requests, exemption certificates, bonded sellers, non-withholding agents, and license renewals.
For taxpayers that are not classified as "large taxpayers," the DOT has extended due dates for import tax returns for the months of August, September, and October. These returns are now due December 11, 2017. Sales and use tax returns for these same months are now due December 20, 2017.
The DOT did not further extend due dates for "large taxpayers." In Information Bulletin 17-21, "large taxpayers" were given a seven-day extension in addition to any previous extensions for Internal Revenue Unified System (SURI) related transactions with due dates in September and October. These transactions include filing monthly import tax and sales and use tax forms as well as making bimonthly sales and use tax payments. "Large taxpayers" include (1) commercial banks or trust companies, (2) private banks, (3) securities or broker houses, (4) insurance companies, (5) telecommunication businesses, and (6) any other merchant whose annual business volume is greater than $50 million. For the convenience of "large taxpayers," the DOT has set up a temporary collection office at the Evertec location on Road #176, kilometer 1.3 Cupey Bajo, Rio Piedras. This office has equipment set up for taxpayers to use for electronic transactions.
All information requests for regular audits and audits by correspondence are suspended until further notice. Once audit procedures are reestablished, the DOT will provide information on submitting the required information.
Merchant Registration Certificates, Reseller and Municipal Exemption Certificates, and Manufacturing Plant Exemption Certificates expiration dates are extended until January 31, 2018 for certificates that expire between September 5, 2017 and January 31, 2018. These certificates must be renewed by February 1, 2018 to be used for purchases made on or after this date.
Bonded merchants, importers, and dealers are not required to renew their bonds if (1) they are in compliance with requirements under statute and regulation and (2) their bonds are due from September 1, 2017 through January 31, 2018. Additionally, any merchants, importers, or dealers wishing to be classified as a bonded can begin submitting these requests in February 2018. A moratorium is placed on these requests until January 31, 2018.
Merchants classified as "non-withholding agents" are not required to file quarterly reports for the quarter ending September 30, 2017. However, the quarterly reports will be required for the quarter beginning October 1, 2017. A merchant is a "non-withholding agent" if (1) it is dedicated to mail-order sales (e.g., Internet sellers) and (2) its only contact with Puerto Rico is its customers.
As provided in Information Bulletin 17-21, license renewal deadlines due in September and October are given a 60-day extension. Once the extension expires, the licenses must be renewed and paid. Once renewed, the licenses will be effective retroactively from the original due date. Any person that has submitted a license request that has not been completed and no response has been received from the DOT, can apply for a 60-day temporary license free of charge by email to firstname.lastname@example.org. The request must be submitted with the documents required for the original application.
Transaction (buying or selling things), Tax (the tax on this activity), Resources (our people, our website, our support services) - TTR, Inc.
TTR has a website that companies subscribe to and use daily. This website provides a list of everything that can be bought or sold in the U.S. It provides simple answers to whether buying or selling these items is taxable (subject to a sales tax or other tax), and it provides all the legal authority to support these tax answers.
TTR likes to keep things simple and fun, which is why it has great people who provide help to clients on any support questions they have about transaction tax issues.
Please visit TTR on the web at www.ttrus.com or call 866.578.8193.
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