P.R. Laws tit. 26, § 3418
(1) Every cooperative insurer duly organized under this Code shall be exempted from all real and personal property taxes belonging to said cooperative insurer; Provided, That said exemption shall in no case exceed the appraised value of one million dollars ($100,000.000); Provided, further, That for fiscal years 2009-10, 2010-11, and 2011-12, the exemption that shall apply to such cooperative insurers shall be ten million dollars ($10,000,000).
(2) The tax exemption hereby authorized shall also include the stock issued by said cooperatives within the powers and faculties granted to them by this Code and the exemptions granted by the law to other types of cooperatives in Puerto Rico.
(3) Such cooperative insurers that wish to avail themselves of the tax exemption may request from the Director of the Municipal Revenues Collection Center exemption from the payment of taxes, accompanying with the application a statement of their assets and stock and the valuation thereof, the articles of incorporation, and all such data as the Director of the Municipal Revenues Collection Center may require of the cooperative in order to issue the exemption resolution. Once the resolution is issued, the insurers shall proceed to publish the same in a newspaper of general circulation in Puerto Rico.
(4) General rule.—
(a) Except as provided in clause (b) of this subsection, cooperative insurers organized pursuant to this Code, being non-profit associations, shall not be subject to the payment of income tax.
(b) Taxable years beginning after December 31, 2008, and before January 1, 2012.— Notwithstanding the provisions of §§ 8401–8697 of Title 13, and this Code, during each of the taxable years beginning after December 31, 2008, and before January 1, 2012, cooperative insurers organized pursuant to this Code shall be subject to a special five percent (5%) tax on the amount of their net income for the taxable year, to be computed in accordance with the provisions of §§ 8591–8602 of Title 13, regardless of the provisions of § 8501 of Title 13 or this Code, but only to the extent that said net income exceeds two hundred fifty thousand dollars ($250,000). Unless otherwise provided by the Secretary of the Treasury by regulation, circular letter or other administrative determination or communication of a general nature, such tax shall be reported, paid, and collected in such form and manner as established in §§ 8401–8697 of Title 13, for corporations to pay general income taxes.
History —Ins. Code, added as § 34.180 on June 26, 1959, No. 84, p. 220, § 1; Nov. 12, 2007, No. 174, § 20; Mar. 9, 2009, No. 7, § 27; July 10, 2009, No. 37, § 18.