THE 20/22 ACT SOCIETY

OPPORTUNITY AWAITS

ABOUT US

The 20/22 Act Society is a membership based organization that is comprised of individuals who have moved to Puerto Rico from various places throughout the world, in view of the passage of Acts 20 and 22 of 2012. The Society was formed by Robb Rill, one of the first individuals to relocate to the Island. We provide free guidance to everyone that reaches out with an interest in relocating to Puerto Rico under the aforementioned Acts, to make sure that potential and current recipients of tax exemption decrees granted under the Acts are fully cognizant of their compliance obligations as part of our educational efforts. At the same time, the Society serves as a venue to gather those interested in relocating with those that have already made Puerto Rico their home, as an opportunity for them to share their experiences, clarify their general concerns and be part of a like-minded community.

 

The ultimate purpose of the Society is to serve as a voice to promote the significant impact that the 20/22 community can have in the Puerto Rico’s nonprofit sector. To achieve this, the 20/22 Act Foundation Inc. was created to support and directly work with local charities in different philanthropic areas regarding but not limited to: animal welfare, children’s, education, elderly care, and homeless areas by allocating monetary contributions collected as part of the educational and social efforts made through the Society. The Foundation is certified as a nonprofit organization under both the Puerto Rico Internal Revenue Code Section 1101.01 and the Federal Internal Revenue Code Section 501(c)(3).

OUR MISSION

GUIDANCE
The Society provide accurate information about the Acts and the subsequent requirements for legally benefitting from them. We feel there is a definite benefit to all in understanding the requirements and clarifying misinformation to prevent undue and unwelcome scrutiny.
UNIFIED VOICE
Our reach has allowed us to develop an ongoing feedback relationship with the governmental, private, and entrepreneurial sectors to ensure our concerns, objectives, and recommendations are heard, as an effort to preserve the benefits granted.
COMMUNITY
We have built a community here in Puerto Rico for those who have come here to benefit from the Acts. Belonging to a community of like- minded and similarly situated peers can make adjusting to this new environment much easier.
GIVE BACK
The Society is committed to giving back to Puerto Rico in appreciation for the benefits living here provides. We clearly see need here, and we look forward to being able to provide to fulfill those areas of need through our charitable arm.

CHARITIES


Organizations supported by the Foundation include local charities that fund grants for local students to attend universities who could otherwise not afford to, that outreach and give services to the homeless and the elderly on the Island, that provide computers for children in schools where access is unavailable, and that work on reducing the street dog population and animal abandonment through rescue and low cost spay and neuter campaigns.

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ABOUT PUERTO RICO

QUICK FACTS

  • Puerto Rico is an unincorporated territory of the United States located in the Caribbean with roughly 3.7 million residents
  • Puerto Rico operates under the legal, monetary, and banking systems of the United States
  • New residents are protected under U.S. law and a U.S. passport is not required for travel between the U.S. and Puerto Rico
  • English and Spanish are the official languages of Puerto Rico

ECONOMY

  • Currency: U.S. dollar
  • GDP: $108.5 Billion
  • Puerto Rico is part of U.S. free trade zones and customs system
  • Regulated banking system which is also insured by the Federal Deposit Insurance Company (FDIC)

FOREIGN TAX STRUCTURE

  • No federal income tax
  • Controlled Foreign Corporation (CFCs) tax treatment, in which federal income taxes are differed until repatriation of profits
  • Cost Advantages vs. Continental U.S.

INSTITUTIONAL FRAMEWORK

  • Legal safeguards and presence of U.S. federal court
  • Puerto Rico is under the protection of the Homeland Security Act
  • Puerto Rico is under the U.S. legal framework and intellectual property protection

TRANSPORTATION

  • The Luis Munoz Marin International Airport is the largest and busiest airport in the Caribbean
  • There are six regional airports to reach every corner of the islands
  • Many major airlines have service to Puerto Rico including American Airlines, Continental, Delta, United, JetBlue, US Airways, Southwest and Virgin Atlantic

EDUCATION

  • 94% literacy rate
  • Highly acclaimed private schools for all levels of education

ISLAND LIFE

Following the Spanish-American War, Spain ceded Puerto Rico to the United States under the 1896 Treaty of Paris. At this time, the economy of Puerto Rico heavily relied on its sugar crop. In the middle of the century, free market reforms spread across the island, transforming Puerto Rico into the manufacturing powerhouse and prominent tourist destination that it is today. Recently, the legislature of Puerto Rico sought to add to this legacy through Acts 20, 22, and 273.

 

New and sweeping changes are taking place in Puerto Rico. Puerto Rico has passed legislation in 2012 to incentivise investors and service providers of all industries to relocate their headquarters to the island. In return for the island’s gained economic growth, these organizations and individuals are allowed new and exciting benefits. These new benefits apply to individuals and organizations who relocate to Puerto Rico and may include significant reductions of income taxes on long-term capital gains, dividends, interest, earnings and profit, and property. These benefits are possible because income generated within Puerto Rico is generally not subject to U.S. federal taxation.

 

We, the 20/22 Act Society, are excited to share how Puerto Rico’s legislative changes can benefit other service providers and organizations currently based in the U.S. This website will provide general information on the new legislation relating to this opportunity.

TAX INCENTIVES

ACT 20
On January 17, 2012 Puerto Rico's government enacted the Act No. 20 of 2012, also known as the "Export Services Act" to offer the necessary elements to create a World Class Service Center by providing tax credits and tax exemptions to business engaged in eligible activities in Puerto Rico.
ACT 22
"The Individuals Investors Tax Act of 2012" or Act No. 22 was created to promote individual investors to relocate to the Island by providing a total exemption from Puerto Rico income taxes on all passive income realized or accrued after such individuals become bona fide residents.
ACT 273
With the objective of making Puerto Rico an international banking and financial center the government enacted the Act No. 273, also known as "The International Financial Center Regulatory Act" which provides tax incentives for new banking and financial activity in Puerto Rico that is done for clients outside of Puerto Rico.

The 20/22 Act Society

Our President and Founder, Robb Rill, explains the purpose of the 20/22 Act Society. Robb goes over the Society’s educational, social, and charitable initiatives, while sharing his experience as one of the first investors to move to Puerto Rico under the Acts 20 and 22.