Just a premise for this because I know it will be the #1 top asked question:Can crypto obtained prior to moving to Puerto Rico be included in the tax grant and cashed out 0% tax after moving to puerto rico in the future?The answer to this is yes, and this can be verified with the tax attorneys on the island who handle the crypto grant. In short, it relates to crypto being classified by the IRS as "personal property". As long as this remains true (versus currency, commodity, or other classification), capital gains on personal property obtained prior to PR residency is not taxable.As you live on the island and ideally trade your coins, you automatically "domesticate" them to Puerto Rico, further protecting yourself from taxation in the future.There is an argument that this is a false interpretation of the law. Its not a false interpretation but as with most new systems that have unclear guidance, there are conservative and non-conservative interpretations. This qualifies as non-conservative, and 100% of the crypto people on the island are relying on it.--------------------Any OTHER questions about the grant, requirements, or boots-on-the-ground experiences after having lived here 4 years participating, please feel free to ask.
Submitted September 27, 2020 at 06:15AM
No comments:
Post a Comment