ACT 14-2017

RETENTION & RETURN OF MEDICAL PROFESSIONALS

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REGULATORY COMPLIANCE
OUR
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results.

TAX INCENTIVES

Essntium Group has been certified by the Department of Economic

Development and Commerce of Puerto Rico as a Certified Incentives
Promote to assist you in choosing the incentive that best fits your needsand
guide you through the application process.

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 LEGAL
On January 2, 2017 the Puerto Rico BACKGROUND
house of Representatives submitted
Bill No.5 titled Incentives Act for ON ACT 14
the Retention and Return of Medical
Professionals.

Bill No. 5 was approved by the House

February 8, 2017.

The bill was approved by the Senate of

Puerto Rico on February 11,2017.

Governor Ricardo Rossell Nevares

signed the bill into Act No. 14 of 2017

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STATISTICS

Medical Professionals
Medical Specialists

2009
13,452 2009
8,452

2014 2014
11,088
6,713

17.5% *Statistics provided by

Custom Research Center.

20.5%
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 PURPOSE
OF THE
The purpose of Act 14 is ACT
to offer a tax incentive
to the qualified medical
professionals in Puerto Rico
and to attract the set up of
new medical practices.

The eligibility for this

incentive is based on
professional eligibility,
residency, community service
and timing of request.

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 QUALIFIED
PHYSICIAN
MEDICAL
DOCTOR

LICENSED
PODIATRIST

ODONTOLOGIST

RESIDENT
studying in an
accredited program

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INCENTIVES

15 year
initial term
4%
fixed income 100%
tax rate on income exemption
generated by offering (up to $250,000)
Professional Medical on dividends
Services.

INCENTIVES

25%
of income can be used as Can request a
contributions for individual
retirement plans or up to
15 year
25% of their salary extension

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COVERED INCOME & SERVICES

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COMMUNITY SERVICE REQUIREMENT
At least 180 hours per year of community service in any of the following:

*Mi Salud providers are exempt from this requirement.

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 OTHER
REQUIREMENTS
Physician must submit
a formal request to the
DDEC Secretary through
the Office of Industrial Tax
Exemptions
electronic platform

Pay corresponding
Government Fee of $750

Acceptance fee of $1,000,

once grant is approved

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CONSIDERATIONS FOR APPROVAL

Economic impact of granting this incentive

Physicians specialty, subspecialty or accredited

residency program.
Shortage of doctors with physicians specialty and/or subspecialty
currently providing services in Puerto Rico.

Geographical area where physician is providing service.

A special consideration can be given to General Practitioners when they provide

service in a geographical area where there is a lack of physicians.

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 COMPLIANCE
Maintain status as qualified physician

Practice medicine, podiatry, or some

specialty of orthodontist on a full time
basis

Be a resident of Puerto Rico

Comply with any and all

tax responsibilities

Provide the required 180 hours of

community service

Any other requirement imposed by the

Grant, Act 14 or Regulation

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APPLICATION FILLING PROCESS

Fill in
General Client
Agreement
Form Provide
Decree
documents
Approval & Final
listed in
Government
Checklist for
Acceptance fee
Act 14-2017

Sworn
Statement & ANNUAL Information
Government
Filling Fee
REPORT Review

Follow through
filling with Financial
designated Analysis
personnel at Filling
OECI process
through
Electronic
Platform

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THANK
YOU!

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