Puerto Rico is a U.S. territory with its own Sales and Use Tax, known as Impuesto sobre Ventas y Uso (IVU). The standard combined IVU rate is 11.5%, consisting of a 10.5% Commonwealth-level tax and a 1% municipal tax.
If you sell taxable goods or services in Puerto Rico, you may be required to register, collect IVU, and file returns with the Puerto Rico Department of the Treasury, commonly known as Hacienda.
Puerto Rico Sales Tax at a Glance (2026)
| Topic | Key Information |
| Standard combined IVU rate | 11.5% |
| Commonwealth Portion | 10.5% |
| Municipal portion | 1% |
| Economic nexus | $100,000 in sales OR 200 transactions |
| Registration required | Yes, if applicable |
| Filing | Generally monthly |
| Registration and filing portal | SURI |
When Do You Have Sales Tax Nexus in Puerto Rico?
Puerto Rico uses nexus rules to determine when businesses must register and collect IVU.
You may establish nexus if your business:
- Has a physical location, employees, inventory, or other business presence in Puerto Rico.
- Conducts qualifying business or marketing activities in Puerto Rico.
- Exceeds $100,000 in gross sales into Puerto Rico during its accounting year.
- Completes 200 or more transactions with Puerto Rico customers during its accounting year.
- Creates nexus through certain marketplace, affiliate, or other business relationships.
Remote sellers only need to meet one of the economic thresholds, not both.
Businesses approaching either threshold should monitor their Puerto Rico sales carefully to avoid registering late.
What Is Taxable in Puerto Rico?
Puerto Rico’s IVU applies to many sales of tangible personal property as well as certain services and digital products.
Taxable transactions can include:
- Electronics
- Furniture
- Clothing
- Household goods
- Certain digital products
- Certain taxable services
- Admissions and other taxable transactions
Common exemptions may include certain food products, prescription medications, medical items, and other transactions specifically exempted under Puerto Rico law.
Because Puerto Rico also taxes certain services, businesses shouldn’t assume that only physical products are subject to IVU.
How to Register for Puerto Rico IVU
Businesses required to collect IVU generally register through SURI (Sistema Unificado de Rentas Internas), Hacienda’s online tax system.
The basic process includes:
- Create or access your account through SURI.
- Register your business and applicable locations.
- Provide your business and tax identification information.
- Obtain your Merchant’s Registration Certificate (Certificado de Registro de Comerciante).
- Begin collecting IVU on taxable transactions.
SURI is also used to file IVU returns, report applicable transactions, and manage your merchant registration.
Businesses should complete any required registration before they begin collecting IVU.
Puerto Rico Sales and Use Tax Rates
The standard combined IVU rate on taxable transactions is 11.5%.
This consists of:
- 10.5% Commonwealth IVU
- 1% municipal IVU
Unlike most U.S. states with numerous city and county rates, Puerto Rico’s municipal IVU is generally a uniform 1%. Hacienda confirmed that the municipal rate remains fixed at 1% for the 2026–2027 fiscal year.
Certain transactions may qualify for different or reduced rates, so businesses selling specialised products or services should verify the rate that applies to their transactions.
Marketplace Facilitator Rules
Puerto Rico has marketplace facilitator rules requiring qualifying facilitators to collect and remit IVU on transactions made through their marketplaces. This can apply to platforms that facilitate sales of:
- Tangible personal property
- Certain digital products
- Taxable services
If a marketplace facilitator is responsible for collecting IVU on your marketplace transactions, you generally shouldn’t collect the tax again on those same sales.
However, if you also sell through your own website or directly to Puerto Rico customers, you may still have IVU obligations for those direct sales.
Businesses using multiple sales channels should keep marketplace and direct sales records separate.
Filing Requirements
Businesses registered for IVU generally file a monthly Sales and Use Tax Return through SURI.
Returns are generally due by the 20th day of the month following the reporting period. For example, IVU collected during January would generally be reported by February 20.
Businesses should maintain accurate records showing:
- Gross sales
- Taxable sales
- Exempt sales
- IVU collected
- Marketplace transactions
- Supporting exemption documentation
Registered businesses should also ensure they file all required returns, even during periods where little or no tax is due.
Businesses that fail to register, file required returns, or remit IVU may face penalties and interest.
Remote sellers should pay particular attention to Puerto Rico’s economic nexus thresholds. If you’ve exceeded the threshold without registering, addressing the issue promptly can help prevent the liability from continuing to grow.
Puerto Rico IVU Compliance Checklist
- Determine whether you have physical or economic nexus.
- Monitor the $100,000 or 200-transaction economic nexus thresholds.
- Register through SURI when required.
- Obtain your Merchant’s Registration Certificate.
- Determine whether your products or services are subject to IVU.
- Collect the correct IVU rate.
- Separate marketplace sales from direct sales.
- File required IVU returns on time.
- Maintain accurate sales and exemption records.
FAQs
What is the sales tax rate in Puerto Rico?
The standard combined IVU rate is 11.5%, consisting of a 10.5% Commonwealth portion and 1% municipal portion.
What is the economic nexus threshold in Puerto Rico?
Remote sellers generally establish economic nexus with more than $100,000 in gross sales or 200 transactions during their accounting year.
How do I register for Puerto Rico sales tax?
Businesses generally register through SURI and obtain a Merchant’s Registration Certificate.
Do marketplaces collect Puerto Rico IVU?
Qualifying marketplace facilitators are generally responsible for collecting and remitting IVU on sales made through their platforms.
Do I need to file IVU returns every month?
Registered merchants generally file a monthly IVU return, typically due by the 20th of the following month.
Final Thoughts
Puerto Rico’s IVU system is separate from the sales tax systems used by U.S. states, but many of the same compliance principles apply. Businesses should determine whether they have nexus, register through SURI when required, collect the correct IVU, and file their returns on time.
For remote sellers in particular, monitoring the $100,000 or 200-transaction economic nexus threshold is an important part of staying compliant.
Need help with Puerto Rico IVU registration, filings, or compliance? Contact our tax professionals today.
