Puerto Rico Tax Incentive Act 60 was created in 2019 to establish the new Puerto Rico Incentives Code. With the goal of promoting economic development in Puerto Rico. Act 60 offers an array of tax incentives to attract investment to the island. One of the benefits of Act 60 is that it consolidates in one place dozens of previously approved incentive Acts, harmonizing and standardizing as much as posible, tax incentive applied to income, royalties, dividends and distribution of interest, and profits from capital, promoting and welcoming new sources of invesment into Puerto Rico´s economic development. Furthermore, the small and medium businesses eligible under this Act, as well as exempt companies with operations in Vieques and Culebra, could recieve additional tax incentives during the first five years of operation. This year tool will be an important component to promote job creation, investment in strategic sectors, innovation, exports, talent retention, international competitiveness, and economic development of Puerto Rico. All Changes are forward looking and do not apply to existing incentive contracts. Act 60 provides tax exemptions to businesses and investors that relocate to ot are established in Puerto Rico. The incentives are particularly attractive to U.S. citizens who move to Puerto Rico because they do not need a residency permit, their Puerto Rico sourced income is exempt from U.S. federal and state income taxes, and they get to keep benefits such as Medicare and Social Security. To take full advantage of Act 60´s tax incentives, the most important requirement is that business owners and investors become bona fide residents. There are some basic requirements to be considered a bona fide resident of Puerto Rico. Each requirement has its own tests/options that allow an individual to meet the standard of becoming a bona fide resident