Para enmendar la Sección 2091.01 de la Ley 60-2019, según enmendada, conocida como “Código de Incentivos de Puerto Rico”, a los fines de eliminar el requisito de pauta, distribución o exhibición comercial al público en general fuera de Puerto Rico para los proyectos fílmicos que comprendan series en episodios, mini series, y programas de televisión de naturaleza similar, incluyendo pilotos y aquellos producidos para distribución digital y para proyectos de televisión, incluyendo pero sin limitarlo a programas de tele-realidad, conocidos en inglés como “reality shows”, de entrevistas, noticiosos, programas de juegos, entretenimiento, comedia y aquellos dirigidos a niños y de variedad, y para otros fines relacionados.

2025-2028 Session

Bill removes requirements for tax incentive-eligible Puerto Rico film/TV productions to have external distribution, expanding eligibility to digital and streaming content.

Remitido a la Comisión de Reglas y Calendario del Senado

Legislative bill overview

Bill PC 443 amends Puerto Rico's Act 60 tax incentive code to remove the requirement that certain audiovisual productions must be commercially distributed or exhibited outside Puerto Rico to qualify for tax benefits. The bill expands eligibility to include episodic series, mini-series, television programs, reality shows, news programs, game shows, and children's content that were previously excluded or restricted under distribution requirements.

Why is this important

This change could significantly lower barriers for local and foreign production companies to access Puerto Rico's generous tax incentive programs (Act 60), potentially attracting more film and television production to the island. The removal of external distribution requirements makes the incentives more accessible to digital-native content and streaming platforms, reflecting how modern media consumption has shifted away from traditional theatrical or broadcast distribution models.

Potential points of contention

Revenue impact: Expanding tax incentive eligibility could reduce government tax revenue if productions that would have occurred anyway now claim benefits, or if the costs of incentives exceed economic benefits generated

Competitive fairness: Removing distribution requirements may create unequal treatment between productions that meet different criteria, or between Puerto Rico-based and non-local producers

Economic substance: Critics may argue that productions distributed only digitally or locally provide fewer genuine economic benefits (tourism, foreign exchange) compared to those with broad external distribution, questioning whether the expanded incentives serve the original policy goal