Get PR Form AS 2907.1 2018-2024

The Puerto Rico rates for gift tax and the estate tax are the same, 10% of the taxable amount. The gift tax return is due on or before January 31 of the year following the year of the gift. A three-month extension to file is available upon request.

The gift tax is a tax on the transfer of property by one individual to another while receiving nothing, or less than full value, in return. The tax applies whether or not the donor intends the transfer to be a gift. The gift tax applies to the transfer by gift of any type of property.

U.S. citizens who acquired their U.S. citizenship outside of Puerto Rico are subject U.S. federal estate tax or gift tax on their worldwide assets. Puerto Rico also has a gift tax and an estate tax. Puerto Rico is a forced heirship and community property jurisdiction.

The gift tax limit is $16,000 in 2022 and $17,000 in 2023. The gift tax rates range from 18% to 40%. The gift giver is the one who generally pays the tax, not the receiver.

Generally, if you are a Puerto Rico bona fide resident, you must file a Puerto Rico tax return. If you are not a bona fide resident of Puerto Rico, you must file both a Puerto Rico tax return and a U.S. tax return. If you are a member of the United States Armed Forces, special tax rules may be applied.

Act 76 eliminates the 10% tax on transfers that occur after December 31, 2017, for both residents and nonresidents of Puerto Rico.

In Puerto Rico the estate tax ranges from 18-50% of the net taxable value of any property you inherit. If your deceased loved one was a resident of Puerto Rico, this applies to all property. If not, it only applies to property owned in Puerto Rico.

Currently, there is a 10% tax on property transferred by gift or inheritance that is not subject to exemption. Recipients of property that is subject to gift or inheritance taxation may increase their tax basis by the fair market value of the property at the time of the transfer.