Representatives from Puerto Rico’s telecommunications sector presented a united front Tuesday against the proposed elimination of the business-to-business tax exemption, saying “far from helping the island solve its fiscal problems, it will trigger a double-digit increase in the price of products, services, operating expenses and the cost of living in general.”
The Puerto Rico Treasury Department is currently working on a number of enforcement and automation initiatives to increase the island’s sales and use tax uptake from the current 68 percent while attacking the government’s fiscal shortfall, agency Secretary Melba Acosta told participants of the Puerto Rico Credit Conference Friday.
Puerto Rico individual and corporate taxpayers who have a sales and use tax (known as IVU for its initials in Spanish) debt with the Treasury Department will be able to pay without penalty through a tax amnesty good through June 30. The agency expects to collect $8 million through the initiative, Treasury officials said Monday.
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