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Section 936 and how it messed up Puerto Rico - Pasquines

Section 936 and how it messed up Puerto Rico - Pasquines

The article has a lot right but, as someone who worked in the White House & Congress and who dealt with the issue from 1979 or ’80 through 2001 and has since, a few points in the order that they appear: Pres. Clinton cut the 936 tax credit from equal to all tax due to 40% of that and proposed a tax credit based on wages & investments in Puerto Rico. The Republican Congress later insisted on a full phase-out and added it to a minimum wage increase bill the President wanted. 936 was originally enacted “to encourage job-creating investments in Puerto Rico” as well as to reform a tax...

July 17, 2020
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