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Puerto Rico Treasury Department Extends Period to Make Hurricane-Related Retirement Plan Distributions

Filed Under: Puerto Rico

Last year, the Puerto Rico Department of the Treasury (the β€œPR Treasury”) issued Administrative Determination Number 17-29 (β€œAD 17-29”) to provide rules and procedures for allowing distributions from an IRA or a Puerto Rico qualified retirement savings plan following Hurricane MarΓ­a. The purpose of these relaxed tax rules is to temporarily allow Puerto Rico residents impacted by the hurricane to make distributions from qualified retirement plans and IRAs at a preferential tax rate. The PR Treasury subsequently issued Administrative Determination Number 18-02 on January 17, 2018, to clarify certain provisions of AD 17-29.