What is the 549-day rule for Puerto Rico?

Written by Editorial Team | Last Updated: August 2026

The 549-day rule in Puerto Rico is a vital residency requirement associated with Act 60 (formerly Act 22), which grants massive tax exemptions to qualifying individuals who relocate to the territory. To maintain preferential tax status on capital gains, interest, and dividends, a resident must be physically present in Puerto Rico for at least 183 days during the taxable year and clear a secondary cumulative threshold of 549 days across a three-year period, ensuring strict compliance with local presence mandates.

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