General information only, not tax or legal advice. The figures below are illustrations under stated assumptions, not a projection of your tax.

0% vs 4% comparison calculator

This tool compares Puerto Rico tax on an annual amount of eligible income or gains you enter, under two Individual Resident Investor regimes: a 0% rate through 2035, and a 4% rate through 2055. It runs in your browser and does not send the numbers you enter.

Deadline: Dec 31, 2026. Individual Resident Investor applications filed on or before Dec 31, 2026 at 11:59 p.m. AST (Incentives Portal filing-fee timestamp) are treated under the 0% rules, with those decrees expiring Dec 31, 2035. Applications filed on or after Jan 1, 2027 are under a 4% rate through Dec 31, 2055.

Dec 31, 2026, 11:59 PM AST

Sources: DDEC Informative Bulletin 2026-004; DLA Piper (March 12, 2026); Kevane Grant Thornton (March 20, 2026).

Assumptions

  • The amount you enter is treated as Puerto Rico-taxable income that would be 0% under a pre-2027 Individual Resident Investor decree (interest, dividends, or post-residency long-term gains). Other income is ignored.
  • The 4% path applies 4% every year from the start year through 2055.
  • The stay path applies 0% in every year through 2035. If the box is checked, it then applies 4% from 2036 through 2055. If the box is unchecked, years after 2035 are left unmodeled. Ordinary Puerto Rico rates may apply after a 0% decree expires; this tool does not estimate those rates.
  • Growth, if any, is applied once a year: year Y income equals the starting amount times (1 + growth)Y minus start year.
  • Each year is modeled as a full year. The tool does not prorate a mid-year move, a mid-year decree, or a partial year in 2026 or 2035.
  • The 5% rule on certain pre-residency appreciation, U.S. federal tax, the annual donation, housing costs, and filing fees are not included.

A longer explanation of the choice for current decree holders is in the switch-or-stay guide.

Sources for the rates and dates

  • DDEC Informative Bulletin 2026-004 (April 24, 2026) — how the Office of Incentives applies Act 38-2026 to Individual Resident Investor filings, including the Dec 31, 2026, 11:59 p.m. portal-timestamp rule and the Dec 31, 2035 expiration of 0% decrees.
  • DLA Piper, “Individual resident investor tax benefits extended through 2055 with a four-percent tax rate” (March 12, 2026) — 4% rate through Dec 31, 2055 for applications filed after Dec 31, 2026; six-year prior-residency look-back and the requirement to establish Puerto Rico residency by Dec 31, 2055; option for investors who obtained or requested a decree before Dec 31, 2026 to modify an existing decree to adopt the new regime. A JD Supra page republishes the same DLA Piper article.
  • Kevane Grant Thornton tax alert (March 20, 2026) — side-by-side rates; existing Act 60 / Act 22 decrees grandfathered unless revoked, valid through Dec 31, 2035, and may be renegotiated to use the new rules now or later.
  • Text of Act 38-2026 (Spanish).

Talk to a CPA before Dec 31

This site is operated by Rick Rutherford, CPA of MyGreen Tax & Accounting PR, a CPA-led firm that serves Act 60 clients. If you want to talk through a filing before the Dec 31, 2026 deadline, you can reach the firm directly. This is a disclosed invitation to contact the firm that operates the site, not a promise of a particular tax result.

Email act60@mygreenonline.com

General information, not tax or legal advice. Sending a message does not by itself create a client relationship.

This calculator is not tax, legal, or investment advice and does not create a client relationship. It cannot tell you which path to take. Confirm the current rules with the DDEC Office of Incentives and a licensed professional who has your facts.