From Act 60 to CRIM discounts—explore how investing in Puerto Rico real estate can lower your tax burden and boost ROI.
One of the biggest draws for investors in Puerto Rico is the favorable tax environment—especially if you’re a resident or qualify for local incentives.
Key Tax Advantages
- Mortgage interest deduction on rental or primary properties
- Depreciation deductions to offset rental income
- Act 60 incentives may exempt certain passive or export service income
- CRIM discounts for principal residences or new buyers
- Rental income taxed at preferential rates if under certain thresholds
For Example:
If you own a long-term rental property, you could deduct expenses like repairs, insurance, property management, and depreciate the structure over 27.5 years.
Final Tip
Always consult with a Puerto Rico-based accountant or CPA familiar with real estate and Act 60 compliance. A smart tax strategy can significantly increase your ROI.
- Mortgage interest and depreciation deductions
- Possible tax exemptions under Act 60
- CRIM discounts for primary residences
- Passive rental income taxed at lower ratesConsult a CPA familiar with Puerto Rico real estate tax laws to optimize your return.