Puerto Rico 401(k) Plans: Do You Know the Rules that Apply?

Retirement Plans in Puerto Rico. • PR-only and Dual Qualified Plans. • Income Source Rules. • ERISA 1022(i). • U.S. Code versus PR Code Comparisons for 

EMPLOYEE BENEFITS ALERT

12-Dec-2011 The Act introduces among many other changes to the 2011 PR Code

2022 Puerto Rico Retirement Plan Limits

01-Jan-2022 (PR Treasury) the following chart outlines the 2022 limits for retirement plans qualified under the Puerto Rico. Revenue code of 2011.

Puerto Rico Qualified Retirement Plans Significantly Impacted by

Benefits Briefing on. Puerto Rico Plans. Puerto Rico Qualified Retirement Plans. Significantly Impacted by Puerto Rico. Internal Revenue Code of 2011 as.

Required Puerto Rico Qualified Retirement Plan Amendments and

Plan sponsors of either PR-only or dual-qualified plans must adopt the following amendments to comply with the PR Code by the due date including any extension

Part I Section 401.—Qualified Pension Profit-sharing

https://www.irs.gov/pub/irs-drop/rr-08-40.pdf

Puerto Rico Changes Annual Return Filing Requirements for

19-May-2016 Instead of Form 480.7(OE) Puerto Rico retirement plan sponsors will now be ... determine certain penalty taxes related to qualified plans.

Puerto Rico Treasury Department Issues Updated Guidance on PR

24-Jan-2017 Guidance on PR Code Qualification of Retirement Plans. The Puerto Rico Treasury Department (PR Treasury) recently issued Circular Letter of ...

November 15 2010 Legal and Policy Reasons to Include Puerto

15-Nov-2010 Puerto Rican qualified plans to be treated as being equivalent to ... We have assumed that the Puerto Rican retirement plans described in ...

Rev. Rul. 2014-24

Investment in group trusts by certain Puerto Rico retirement plans and by May a retirement plan that is qualified only under the Puerto Rico.

Puerto Rico 401(k) Plans: Do You Know the Rules that Apply?

PR-Only Qualified Plans: Steps • Step 1: Establish stand-alone PR plan covering only PR resident individuals and/or persons providing services primarily within Puerto Rico • Step 2: Establish PR trust for PR plan • Step 3: Coordinate with custodian (can be same US plan custodian) to receive assets and execute investments

Puerto Rico Treasury Announces Retirement Plan Limits for 2021

2022 Puerto Rico Retirement Plan Limits As announced through Circular Letter No 22?01 (“CC RI 22?01”) issued by the Puerto Rico Treasury Department (PR Treasury) the following chart outlines the 2022 limits for retirement plans qualified under the Puerto Rico Revenue code of 2011

Puerto Rico Treasury Announces Key Benefit Plan Limits for 2022

Feb 1 2022 · Puerto Rico’s Internal Revenue Code of 2011 (as amended) provides that after the U S Internal Revenue Service announces its limits for U S qualified retirement plans Puerto Rico’s Treasury Department will issue written guidance on the limits that apply to Puerto Rico qualified plans (including those that are qualified in both the U S and

Puerto Rico IRA rollover guide - UBS

A rollover of a qualifying lump sum distribution from a P R Qualified Retirement Plan to a Puerto Rico IRA (“P R IRA”) must be made in the form of cash and invested by the P R IRA in accordance with certain investment requirements Generally under these rules shares of employer stock

Form AS 6042 - Departamento de Hacienda de Puerto Rico

DEDUCTION FOR CONTRIBUTIONS TO QUALIFIED RETIREMENT PLANS AND TAX ON CERTAIN CONTRIBUTIONS Form AS 6042 1 Rev Apr 23 13 Taxpayer’s Employer Identification Number Complete one Form for each plan to which a contribution was made that you claim as deduction under Section 1033 09 of the Code

How much does a Puerto Rico retirement plan cost?

Remains unchanged at $15,000 for a participant of a Puerto Rico-only qualified retirement plans; and Remains at $19,500 for a participant of a retirement plan sponsored by the U.S. Federal government and for a participant in a dual qualified plan (qualified under both PR Code and the U.S. Internal Revenue Code).

When did Puerto Rico enact the new retirement rules?

On January 31, 2011, a new Puerto Rico Code was enacted. The new rules generally became effective January 1, 2011, and apply to all qualified retirement plans that cover employees working on the Island, even those plans that are also qualified in the United States.

Can Puerto Rican employees be included in a qualified retirement plan?

The primary difficulty with including Puerto Rican employees in a U.S. qualified retirement plan is that the U.S. and Puerto Rican tax rules differ. Puerto Rican employees may not make employee salary deferral contributions in excess of $10,000 in 2011, while U.S. employees may make contributions up to $16,500.

Do you need a Puerto Rico hacienda for a retirement plan?

A retirement plan and any amendments made to the plan, that covers Puerto Rican employees must apply for and receive a letter from the Puerto Rico Hacienda before the plan is qualified under the Puerto Rico Code. On January 31, 2011, a new Puerto Rico Code was enacted.