Puerto Rico Extends Filing Deadlines For Plan Amendments, Determination Letters

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By Florence Olsen  

 

The Puerto Rico Treasury Department announced an extension for employers sponsoring locally qualified retirement plans to adopt required amendments under the Puerto Rico Tax Code of 2011, an attorney in Puerto Rico confirmed June 10.

“This due date applies to internal approval by the corporate approving authority,” said Edgardo Barreto-Pagan, an employee benefit and labor counsel at Fiddler Gonzalez & Rodriguez in Hato Rey, Puerto Rico.

According to Puerto Rico Treasury (Hacienda) Circular Letter No. 13-02, issued May 28, sponsors have until the following new deadlines to adopt conforming amendments:

• April 15, 2014, for employers with a calendar tax year, or

• 3-1/2 months after the close of the employer's tax year (or, if the due date falls on a weekend or a holiday, the next workday immediately after) for employers with a noncalendar tax year.

 

The guidance also provided new deadlines for employers sponsoring locally qualified retirement plans to request a ruling from the Puerto Rico Treasury on their plans' qualified status. “This due date applies to filing a request for a determination letter from Hacienda,” Barreto-Pagan said.

Plan sponsors have until the following new deadlines to apply for determination letters:

• April 15, 2014, for employers with a calendar tax year, or

• 3-1/2 months after the close of the employer's tax year (or, if the due date falls on a weekend or a holiday, the next workday immediately after) for employers with a noncalendar tax year.

 

The Puerto Rico Treasury guidance said that employers may opt to pay a single fee of $150 for the privilege of further extending the deadline to July 15, 2014, for requesting a Hacienda determination letter and adopting the required amendments, Barreto-Pagan said.

The latest deadline for filing with the Hacienda had been Sept. 30 or the due date, including extensions, for filing Puerto Rico income tax returns, which some plan sponsors were finding difficult to meet (102 PBD, 5/28/13; 40 BPR 1311, 6/4/13).