These individuals can benefit from total income tax exemption through year 2035 on their worldwide income consisting of interest and dividends, including dividends from qualifying registered investment companies, and interest, finance charges, dividends and partnership profits from entities under the Puerto Rico International Banking Center Act.


In addition, long-term appreciation in the value of securities occurring prior to establishing Puerto Rico residency, if recognized after ten years of Puerto Rico residency and before January 1, 2036, is subject to a five percent tax. Moreover, long-term appreciation in the value of securities occurring after establishing Puerto Rico residency is totally exempt from tax, if recognized before January 1, 2036.