Jan 11, 2016
From KPMG TaxWatch
On December 29, 2015, the Treasury Department of the Commonwealth of Puerto Rico (Treasury) issued Administrative Determination (AD) 15-25 providing guidance on the new monthly Sales and Use Tax return (Form SC 2915 F) and AD 15-26 regarding the introduction of value added tax (VAT) in the Commonwealth. Effective October 1, 2015, the Commonwealth of Puerto Rico expanded the scope of its sales and use tax (SUT) to designated professionals, business to business, and services rendered by a non-resident, which are now subject to a special four percent SUT rate and are reported on a new return, Form SC 2915 F. In AD 15-23, issued on October 30, 2015, the Treasury stated that any merchant that for SUT purposes is a withholding agent, is required to submit Form SC 2915 F, even if a merchant does not have any reportable service. According to AD 15-25, effective retroactively October 30, 2015, if a Merchant sells exclusively tangible personal property and has not received services from a non-resident, the merchant will not be required to file the new return.
In addition to the expansion of the SUT scope, Act No. 72, dated May 29, 2015, replaces the Commonwealth SUT with a new
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The following information is not intended to be "written advice concerning one or more federal tax matters" subject to the requirements of section 10.37(a)(2) of Treasury Department Circular 230.
The information contained herein is of a general nature and based on authorities that are subject to change. Applicability of the information to specific situations should be determined through consultation with your tax adviser.