State of Puerto Rico Sales Tax The 2016 Puerto Rico State Sales Tax

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What is the 2016 Puerto Rico Sales Tax Rate?

Puerto Rico Sales Tax Rate

6.00%

2016 Puerto Rico state sales tax
Exact tax amount may vary for different items

The Puerto Rico state sales tax rate is 6%, and the average PR sales tax after local surtaxes is 7%.

  • Prescription Drugs are exempt from the Puerto Rico sales tax
  • Counties and cities can charge an additional local sales tax of up to 1%, for a maximum possible combined sales tax of 7%
  • Puerto Rico has no special sales tax jurisdictions with local sales taxes in addition to the state sales tax
  • Puerto Rico has a lower state sales tax than 100% of states

The Puerto Rico Commonwealth Sales Tax applies to the sale of most products and services within Puerto Rico. Puerto Rico exempts groceries, prescription medicines, and business-to-business services from the commonwealth sales tax. Municipalities that collect a local sales tax, however, may collect up to a 1.5% tax on groceries and unprocessed foods.

If you are a Puerto Rico business owner, you can learn more about how to collect and file your Puerto Rico sales tax return at the 2016 Puerto Rico Sales Tax Handbook .

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Puerto Rico Sales Tax Exemptions

Puerto Rico doesn't collect sales tax on purchases of most prescription drugs. Groceries is subject to special sales tax rates under Puerto Rico law. In most states, necessities such as groceries, clothes, and drugs are exempted from the sales tax or charged at a lower sales tax rate.

Some items may not be eligible for these reduced sales tax rates, such as expensive clothing, unhealthy food or drinks like soda, and certain non-essential pharmaceuticals. For sales tax purposes, Puerto Rico treats candy as a grocery, and does treat soda as a grocery. Other items including gasoline, alcohol, and cigarettes are subject to various Puerto Rico excise taxes in addition to the sales tax.

In some states, items like alcohol and prepared food (including restaurant meals and some premade supermarket items) are charged at a higher sales tax rate. The PR sales tax applicable to the sale of cars, boats, and real estate sales may also vary by jurisdiction. Puerto Rico's sales tax rates for commonly exempted items are as follows:

Groceries: 1% Clothing: 6% Prepared Food: 6% Prescription Drugs: EXEMPT Non-Prescription Drugs: 6%
Puerto Rico sales tax for a restaurant meal
$100 Restaurant Dinner
Puerto Rico sales tax for groceries
$100 of groceries
Puerto Rico sales tax for clothing
$100 in clothes
Puerto Rico sales tax for general consumer products
$100 of consumer products
$6.00 sales tax
$106.00 total
$1.00 sales tax
$101.00 total
$6.00 sales tax
$106.00 total
$6.00 sales tax
$106.00 total

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Puerto Rico Sales Tax Exemption Certificate

Unlike a Value Added Tax (VAT), the Puerto Rico sales tax only applies to end consumers of the product. Individuals and companies who are purchasing goods for resale, improvement, or as raw materials can use a Puerto Rico Sales Tax Exemption Form to buy these goods tax-free.

Companies or individuals who wish to make a qualifying purchase tax-free must have a Puerto Rico state sales tax exemption certificate, which can be obtained from the Puerto Rico Department of Revenue. On making an exempt purchase, Exemption Certificate holders may submit a completed Puerto Rico Sales Tax Exemption Form to the vendor instead of paying sales tax.

Sales tax exemption forms (as well as business sales tax id applications, sales tax returns, and the full Puerto Rico sales tax code) can be downloaded from the Puerto Rico Department of Revenue here .

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Puerto Rico Sales Tax Calculator

 Sales Tax Calculator
Purchase Details:
$ in zip code Enter the zip code where the purchase was made for local sales tax

Whenever you make a purchase at a licensed Puerto Rico retailer, your sales tax will be automatically calculated and added to your bill. To lookup the sales tax due on any purchase, use our Puerto Rico sales tax calculator.

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Puerto Rico Use Tax [View Main Article]

If you buy goods and are not charged the Puerto Rico Sales Tax by the retailer, such as with online and out-of-state purchases, you are supposed to pay the 6% sales tax (less any foreign sales tax paid) for these items yourself as the Puerto Rico Use Tax.

Your are expected to voluntarily list your liable purchases on a Puerto Rico Use Tax Return, which should be attached with payment to your Puerto Rico Income Tax Return. Historically, compliance rates with with the Puerto Rico Use Tax have been low.

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Puerto Rico Local Sales Taxes

Puerto Rico does not allow local jurisdictions like cities or counties to collect a local sales tax. The Puerto Rico state sales tax of 6% is applicable statewide. You can view the sales tax rates for various cities in Puerto Rico here.


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