Although Puerto Rico appears to have lost its major corporate tax advantage following the approval of the U.S. Tax Reform, if it were to backfire and motivate companies to send jobs overseas and transfer revenues to other countries, Puerto Rico could have a chance to survive the predicted economic onslaught associated with the measure.
A proposal in President Barack Obama’s deficit reduction plan unveiled Monday could put a wrench in the joint aspirations of the local government and the private sector to get improved tax conditions for controlled foreign corporations doing business on the island.