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President Trump met with a group of community bankers in March 2017, and stressed the need to reduce the regulatory burden on financial institutions and indicated a desire to tailor regulations more to the size of banks.

On May 31, 2017, the Governor of Puerto Rico, Ricardo Rosselló, presented the legislature with his administration’s budget for the Fiscal Year 2017-2018 – the first to fall within the Fiscal Oversight Board’s purview.

The FASB met on May 24 to discuss the results of staff research on the reporting performance and cash flows subtopics in Chapter 4 of the Invitation to Comment, Agenda Consultation.

Organizations, professionals and individuals registered with the Electronic Federal Tax Payment System (meaning having a PIN number) are now able to make additional federal tax payments through the EFTPS’s website. Other methods as voice response system and special channels continue to be available.

On April 26, 2017, President Donald J. Trump announced his proposed 2017 Tax Reform for Economic Growth and American Jobs, for which the Republicans have also issued their proposed tax plan known as “A Better Way” tax reform blueprint. The following table intends to compare the guidelines under both tax reform proposals.

On May 8, 2017, the Puerto Rico Treasury Department (“PRTD”) issued Administrative Determination No. 17-02 to express its position in regards to the computation of net taxable income for taxpayers’ involved in the maritime and air transportation industry.

Businesses today need to become proactive rather than reactive to cybersecurity attacks. It starts by understanding what is important for the business to grow and thrive. Those that fail to enact a strategic approach like, defining roles, valuing assets, identifying internal and external attacks or adapting to new technologies, will continue to be stuck at cybersecurity.

The AICPA introduced a new cybersecurity risk management reporting framework, which will create a common language that can be used to communicate about, and report on, cybersecurity risk management efforts.

On March 16, the FASB’s Emerging Issues Task Force (EITF) reached a final consensus on Issue 16-C, “Determining the Customer of the Operation Services in a Service Concession Arrangement.” The FASB will consider ratification of the consensus at a future meeting. If ratified, the consensus will be issued as an ASU.

Act 154-2010 establishes a 4% Excise Tax on certain personal property and services transactions between related entities for taxable years commenced after December 31, 2010. The tax generally applies to foreign companies that have an office, or are treated as having a permanent place of business in Puerto Rico, and reaches certain threshold levels of production.

The Withholding Exemption Certificate (Form 499 R-4) is the document used by the employee to notify his/her employer of the personal exemption, exemption for dependents and the allowance based on deductions to determine the income tax to be withheld from the employee’s wages.

Through Administrative Order No. OA-2017-01 the Puerto Rico Fiscal Agency and Financial Advisory Authority has instructed the Secretary of the Treasury Department to conduct an inventory of issued tax credits and to require their holders to provide all of the information that the Secretary deems necessary to support their concession.

At companies, the development of a strong and pervasive working capital culture lays the groundwork for a more efficient organization that generates higher growth and improved profitability.

The Puerto Rico Treasury Department issued Internal Revenue Informative Bulletin No. 17-07 to address a recurring inquiry regarding the inclusion of the Certificate of Compliance required under Act No. 187 of 2015 for the 2016 Exempt Business Income Tax Returns.

Resolution 2017-01 establishes the guidance for the use of tax credits granted in Puerto Rico.

The Puerto Rico Treasury Department has issued Administrative Determination 17-01 (“AD 17-01”) to modify the process by which it imposes penalties on merchants that fail to comply with the filing and/or remittance of the Sales and Use Tax.