2026 Tax Calendar: Key Dates and Obligations for Act 60

2026 Tax Calendar for Act 60 Decree Holders

This calendar provides a general overview of key dates relevant to Act 60 beneficiaries. Specific obligations vary by decree type and individual circumstances. Deadlines should be confirmed with a qualified tax professional.

Recent Changes

Individual Investor applicants filing on or before December 31, 2026 may qualify for grandfathered rates under Section 2022.01(a). Applications from January 1, 2027 onward are generally subject to a 4% flat rate on passive income.

First Quarter (January - March)

Second Quarter (April - June)

April 15 is generally the most significant date for individual and corporate tax filings at both the federal and Puerto Rico level.

Third Quarter (July - September)

Fourth Quarter (October - December)

November 15: DDEC Annual Report

This is the primary Act 60 compliance deadline. Per Section 6020.10(a)(3) of the Incentives Code, the annual compliance report is due no later than November 15 following the close of the calendar year. For example, the 2025 compliance report is due November 15, 2026.

The $5,000 annual filing fee is narrower than the report itself. Section 6020.10(d) applies it to exempt businesses under Section 2021.01, that is Individual Resident Investor decrees, and to decrees under Act 22-2012. It is allocated $300 to a DDEC special fund and $4,700 to the General Fund. Late or incomplete submissions may result in administrative fines of up to $10,000 (Section 6020.10(e)); an incomplete filing is treated as not filed if the deficiency is not cured within 15 days of notice.

Note: This deadline is not limited to Act 60 decrees. Section 6020.10(a)(3) applies it to every exempt business holding a decree "under this Code or any Prior Incentives Law", which includes legacy Act 20 and Act 22 decrees. A May 15 date circulated widely in earlier guidance and still appears in secondary sources; the enacted text says November 15.

December 31: Charitable Contributions

Chapter 2 (Individual Investor) decree holders are generally required to complete their annual $10,000 charitable contribution by December 31. Per Section 6020.10(b), the allocation is:

• $5,000 to child poverty nonprofits (from government-published list)
• $2,500 to other qualifying entities under Section 1101.01 of the Puerto Rico Internal Revenue Code
• $2,500 to the Fondo Especial para la Igualdad Social

Obligations by Chapter

Chapter 2 (Individual Investor)

Key annual obligations typically include:

• Federal and PR individual tax returns (April 15)
• Quarterly estimated payments
• DDEC annual report (November 15)
• Charitable contributions (December 31)
• Bona fide residency documentation (ongoing, per IRS IRC Section 937)

Chapter 3 (Export Services)

Key annual obligations typically include:

• Corporate tax returns (April 15 for calendar year)
• Quarterly employment reports
• DDEC annual report with employment and export documentation (November 15)
• Ongoing documentation of export ratio and economic substance

Chapter 6 (Manufacturing)

Key annual obligations typically include:

• Corporate tax returns
• Quarterly production and employment reports
• Environmental compliance documentation
• DDEC annual report with production metrics (November 15)

Planning Considerations

Documentation throughout the year: Maintaining records on an ongoing basis is generally more effective than compiling documentation near deadlines.

Professional calendar coordination: Act 60 beneficiaries with obligations to both federal and PR jurisdictions may benefit from coordinating deadlines with their tax professionals well in advance.

Extension availability: Extensions for tax returns are generally available but do not extend the obligation to pay taxes owed. DDEC report extensions may require formal request before the deadline.

Frequently Asked Questions

When is the DDEC annual report due? November 15 following the close of the calendar year, per Section 6020.10(a)(3). The 2025 report is due November 15, 2026.

What are the penalties for late DDEC filing? Administrative fines of up to $10,000 per Section 6020.10(e). An incomplete filing may be treated as not filed if deficiencies are not corrected within 15 days of notification.

Are PR and federal tax deadlines the same? Most individual return deadlines align (April 15). However, DDEC reporting (November 15) and certain PR-specific requirements operate on different schedules.

When should year-end preparation begin? Preparation for the November 15 DDEC deadline is generally recommended to begin no later than September or October to allow adequate time for documentation assembly and review.

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Virtus Advisory provides this content solely for informational purposes. Nothing in this article should be construed as a guarantee of any particular tax outcome, an endorsement of any specific tax strategy, or an offer to provide professional services. Tax deadlines may change. For personalized guidance, contact a licensed CPA or tax professional.