Retain More Income With Puerto Rico's Act 60

I’ve been in the tax game for a long time. Two decades, countless clients, and a whole lot of tax codes later, I still get the same question: “How do I stop giving half my income to the government?” And here’s the deal: If you’re tired of living in a system that taxes your success into oblivion, there’s a way out — it’s called Act 60.

If you’ve been paying attention to Puerto Rico lately, you’ve probably heard the buzz. And it’s not just the waves hitting the shore. It’s high-net-worth individuals, entrepreneurs, and business owners getting something unheard of in the mainland U.S.— tax breaks so good, they sound like an urban legend. Act 60 offers a legitimate, legally compliant strategy to lower your tax burden — and keep more of your money. If you're not looking at Puerto Rico, you're essentially turning your back on a financial goldmine.

The Problem with Mainland Taxes: You're Paying Way Too Much

Let’s be real — paying 40% to 50% of your income to the federal and state governments is insane. You’ve worked hard to build your business, invest in your future, and generate wealth. Yet every year, a large portion of your earnings gets siphoned off to Uncle Sam. And sure, taxes are a necessary evil (roads don’t build themselves), but when you're paying close to half of your income in taxes, you've got to ask yourself: "Is there a smarter way?"

Newsflash: There is.

Puerto Rico’s Act 60 slashes your tax rate down to a jaw-dropping 4% corporate tax rate. Think about that. Four. Percent. That’s like taking a vacation from your tax bill while continuing to run your business full throttle.

For the entrepreneurs, investors, and professionals out there grinding every day, Act 60 is more than a tax strategy; it’s a financial liberation. Instead of paying upwards of 30% or more in federal and state taxes, you're down to a single-digit rate that leaves you with more capital to reinvest in your business, save for retirement, or enjoy life. For anyone still shackled by state and federal tax regimes, it's time to wake up.

Why Act 60 Works (Hint: It’s All About Location)

Here’s where people get tripped up. You think moving your business to Puerto Rico means abandoning your life, uprooting your entire family, and giving up on everything you’ve built in the mainland U.S. But that’s far from the truth. Act 60 requires you to relocate your operations, sure, but Puerto Rico is hardly the middle of nowhere. It's becoming a hub for investors, entrepreneurs, tech startups, and business owners just like you.

Puerto Rico isn’t just a tax haven — it’s becoming a new center for innovation and global business. Act 60 makes it a compelling place to run a business, but more than that, it’s the gateway to building something even bigger. What was once a place people visited for vacations has evolved into a hotspot for high-growth businesses and ambitious professionals who want to keep more of their hard-earned dollars.

This is an opportunity you can’t ignore. By moving your business or establishing operations in Puerto Rico, you not only minimize your tax burden, but you also gain access to new markets and a talent pool that’s increasingly educated, diverse, and eager to be part of something global.

The Key Benefits of Act 60: Let’s Break It Down

So, what exactly are we talking about when we say Act 60 can change your tax life? Here are the cliff notes:

• 4% Corporate Tax Rate: Compare that to the U.S. corporate tax rate, which is currently 21%, plus whatever your state throws at you. If you're running a business that generates substantial income, this difference in tax rates alone can save you millions.
• No Federal Income Tax: You heard that right. On the personal income side, you’re cutting ties with the IRS. Puerto Rico residents do not pay federal income taxes. You still pay local Puerto Rico taxes, but they’re far more manageable.
• 100% Tax Exemption on Dividends: Any dividends you pay yourself out of your Puerto Rico company’s earnings are 100% tax-exempt. That’s right, zero tax.
• No Capital Gains Tax: Whether you’re cashing in on stock market investments, crypto gains, or real estate, Act 60 allows you to legally avoid U.S. capital gains taxes. With U.S. rates up to 37%, that’s a game-changer.

Imagine this: Your business brings in $1 million. In the U.S., you’d fork over about $300,000 in taxes. But in Puerto Rico under Act 60? You’re paying just $40,000. Do the math. That’s a difference of $260,000 straight to your bottom line.

Who’s Eligible and What’s the Catch?

Now, let’s not get ahead of ourselves. Act 60 isn’t for everyone. But if you’re a high-net-worth individual, business owner, investor, or entrepreneur looking to slash your tax bill legally, it’s time to take a hard look at your options.

You’ll need to move to Puerto Rico, of course. Act 60 requires that you spend at least 183 days a year on the island to qualify as a bona fide resident. But with a tropical paradise at your feet, beaches everywhere, and no snow in sight — is that really a dealbreaker?

On top of that, you have to meet a few business requirements. Your business needs to be exporting services from Puerto Rico, which makes this program ideal for service-based businesses — think consulting, tech development, financial services, and even online businesses.

But here’s the kicker: You don’t have to renounce your ties to the mainland U.S. You can still travel back and forth, do business globally, and live the lifestyle you’ve always wanted. It’s just that now, you get to keep more of your earnings.

Why You Should Act Now — Before You Lose Out

There’s no question: Act 60 is a game-changing opportunity. But like any great thing, it might not last forever. Tax codes evolve. Governments change. And while Puerto Rico is fully committed to supporting Act 60, we’re already seeing interest ramp up from thousands of entrepreneurs, investors, and high-net-worth individuals. This means potential pressure to modify the program over time.

Don’t wait until the window closes. You need to seize this opportunity now before it becomes another “remember when” story.

Here’s the simple truth: You’ve worked hard to build your wealth and business. Why keep giving the government more than their fair share? Moving to Puerto Rico under Act 60 isn’t about escaping taxes — it’s about embracing a strategy that lets you use more of your income to fuel your growth, reinvest in what matters, and build a future that’s actually yours.

We’ve helped countless clients successfully transition to Puerto Rico, optimize their tax strategies, and set themselves up for long-term success. We can help you do the same. But you need to act.

Ready to Learn More? Let’s Talk

This isn't just some marketing pitch — it’s the real deal. If you're serious about keeping more of what you earn, it’s time to start thinking like an entrepreneur who knows how to play the tax game to win. Want to explore what Act 60 can do for your business? Reach out for a free consultation today, and we’ll help you figure out if this move is right for you.

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