At the center of the measure is an across-the-board reduction in the individual tax bracket that would result in a 49-percent overall savings in six years. Corporate reductions are slated to reach 30 percent.
The cornerstone of the tax modification is the reduction of the income tax brackets.
People making less than $20,000 would not pay any tax.
The bracket of those making $20,001 to $30,000 would be taxed 7 percent.
From $30,001 to $70,000, the allocation would be 14 percent.
The upper part of the scale, generating between $70,001 and $125,000, would pay 25 percent. Those making above $125,000 would be taxed 30 percent.
“This is more than just a Tax Reform; this is a new platform to spearhead an economic revival.
Enclosed in this document is the most comprehensive tax modification in the history of Puerto Rico,” Fortuño said.The plan, which is called Más dinero para tu bolsillo More Money in Your Pocket would start in December and would last until fiscal 2016.
The announcement came during a special joint session of the Senate and the House of Representatives.