“You need to meet a physical presence, the closer connection, and the tax home to be a bona fide resident of Puerto Rico.”
Jorie Roberts is the founder of Marjorie Roberts, PC, a firm composed of attorneys who specialize in tax, corporate/securities, and business law, and work with the economic incentive programs in Puerto Rico and the U.S. Virgin Islands. She has a vast knowledge of tax law and holds law degrees from Harvard University, Cambridge University, and New York University.
During the episode, Jorie explains two tax laws, known as Act 20, the Export Services Act, and Act 22, the Individual Investors Act, which shields new residents of Puerto Rico from paying most federal income. And since these laws apply to the residents of Puerto Rico, Jorie discusses the process and requirements in applying for residency. Also, she gives comprehensive examples on what is eligible for tax exemptions.
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ILAB 88 Show Notes
Where we are:
Jorie – U.S. Virgin Islands
Sam – Denver Colorado
Michael – Bangkok
Jorie’s Firm – MARJORIE ROBERTS, P.C. – Attorneys at Law
Michael’s publication – CEF Insider
Fundrise – start with only $1,000 into their REIT funds (non-accredited investors OK)
PeerStreet – get a 1% yield bump on your first loan
ArtofFX – start with just a $10,000 account (reduced from $25,000)
Wealthfront – get your first $15,000 managed free
Betterment – get up to 1 year managed free
04:01 – Acts 20 and 22: What they are and who they’re for?
05:59 – Applying for residency in Puerto Rico
10:15 – Is owning Real Properties required?
11:45 – How can expats benefit from the tax exemptions?
13:52 – Income tax structure using Act 22
16:29 – Are Interests and Dividends taxed?
19:44 – Examples of income structures and its tax exemptions
29:25 – What is eligible for tax exemption?
32:12 – Application process for both Acts
36:02 – Recommendations on how to start
45:32 – Tax in the US vs. other countries
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