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PC 1011

Para añadir un nuevo sub-inciso (viii) al inciso (C) del párrafo (3) de la Sección 1033.15 de la Ley 1-2011, según enmendada, conocida como el “Código de Rentas Internas de Puerto Rico de 2011”, así como enmendar el Artículo 7 de Ley 32-2024, conocida como “Ley del Fondo Especial para la Igualdad Social” a los fines de establecer dentro de las deducciones aplicables a contribuyentes durante el año contributivo los donativos o aportaciones realizadas a dicho Fondo Especial para la Igualdad Social; y para otros fines relacionados.

2025-2028 Session

Puerto Rico bill establishes tax deductions for donations to a Social Equality Fund, incentivizing private charitable contributions while reducing government tax revenue.

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Bill Summary · PC 1011

Legislative bill overview

Bill PC 1011 proposes adding a new tax deduction to Puerto Rico's Internal Revenue Code (2011) allowing taxpayers to deduct donations or contributions made to the Special Fund for Social Equality established by Law 32-2024. The bill also amends Law 32-2024 to formally incorporate this deductibility provision into the applicable deductions for contributors.

Why is this important

Tax deductions for charitable contributions incentivize private funding of social equality initiatives while reducing government budgetary pressure. This mechanism allows Puerto Rico to leverage private resources toward addressing social inequality while providing donors with tax benefits, potentially increasing overall contributions to the fund.

Potential points of contention

  • Revenue impact: The deduction reduces tax revenue; the bill does not specify estimated fiscal loss or how this affects the government budget
  • Definition ambiguity: The bill doesn't clearly define what qualifies as "social equality" contributions or establish oversight mechanisms to prevent misuse
  • Equity concerns: Tax deductions primarily benefit higher-income earners who can itemize deductions, potentially creating regressive outcomes where wealthier donors receive greater tax benefits
  • Fund governance: No clear provisions regarding Fund management, transparency, or accountability for how donated resources are used

Compiled from official sources — confirm details with the bill’s official record.

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