Puerto Rico in Distress

ABI Analysis

Individuals who have profited off of cryptocurrency peers are taking a page out of hedge funds’ books and seeking residence on Puerto Rico to reap huge tax savings, Bloomberg News reported. High-earning investors in the U.S. pay up to 20% in capital gains tax and as much as 37% on short-term gains. In Puerto Rico, they pay nothing.

Federal agents arrested the mayor of one of the wealthiest cities in Puerto Rico on corruption charges Thursday, the second such case announced this month, the Associated Press reported. Guaynabo Mayor Ángel Pérez Otero faces three counts, including bribery and extortion.

The federal oversight board for Puerto Rico is putting the brakes on the commonwealth’s plans to turn a dockyard in Old San Juan into a party and entertainment district, complete with an “urban forest” and floating beaches, Bloomberg News reported. In a letter filed on Dec.

Puerto Rico creditors hoping the commonwealth exits its more than four-year bankruptcy in 2021 will need to wait a bit longer as the U.S. Department of Justice may weigh in on the process, Bloomberg News reported. U.S.

Other Resources

The Financial Oversight and Management Board for Puerto Rico was created under the Puerto Rico Oversight, Management and Economic Stability Act of 2016. The Board consists of seven members appointed by the President of the United States and one ex officio member designated by the Governor of Puerto Rico. Access information on the Board, documents, videos of meetings, calendar of events and live webcasts by clicking here.