The City of San Juan Grants Amnesty on Municipal SUT Debts for Periods Previous to January 1, 2019


By means of Municipal Ordinance No. 23-2018-2019 Series, the city of San Juan establishes a special amnesty period for the payment of Municipal SUT (M-SUT) to any natural or legal person that has outstanding M-SUT debts.  The special period will run from May 1 to September 30, 2019.  The amnesty covers debts, interests, penalties, and surcharges incurred on periods previous to January 1, 2019.


The Finance Office of the City will evaluate the application and will notify the taxpayer of its decision as well as of the amount to be paid.  If the notice is received on a date after the special period has ended, the taxpayer will have additional 30 days from the date of the notice to issue the corresponding payment.


Along with the application, the taxpayer must attach a payment equal to 5% of the total amount due.  It cannot be less than $100 nor larger than $1,500.  The amount will not be returnable.


In order to be eligible for this benefit, the person or entity cannot have any Municipal License Tax debts.  If so, the taxpayer must present a copy of the payment plan authorized by the City.


The maximum benefit to be authorized to taxpayers that make a payment at the moment it is granted will be the payment of the principal amount due, without interests, surcharges, and penalties for the periods previous to January 1, 2019.   For taxpayers that choose a payment plan, the maximum benefit to be authorized will be the payment of the principal plus a sum equal to 10%.  If there is any judicial process on the debt, the taxpayer must make a payment of an additional 10%.  Payment plans will extend through a twelve (12) month period.


If the taxpayer fails to comply with the terms established in the payment plans, the City will cancel the agreement and the taxpayer will have to pay the total amount due after reducing the payments already been made before the cancellation.


If the taxpayer has not complied with a previous payment plan, they may apply for the benefit of this amnesty but will not be granted a payment plan.  If the taxpayer is able to justify the lack of compliance with a previous payment plan, the City may authorize a payment plan and require a bond from an insurance company.  An initial payment of 35% of the total amount due will be required.


Once the process is concluded and the taxpayer proves compliance with the terms and conditions of the payment, the City will make the adjustments and issue a negative debt certification.


Schedule a Free Consultation

Leave a Reply

Your email address will not be published. Required fields are marked *

More Posts


Law 257 of December 10, 2018 (Law 257-2018) established a new Earned Income Credit (EIC) for individuals that have lived in Puerto Rico for the

Read More »