Taxes for selling a house in Puerto Rico

What are the Taxes for selling a house in Puerto Rico? When you sell a house in Puerto Rico, you will be required to pay capital gains taxes to Hacienda, the tax collecting arm of the Puerto Rico government. For long-term gains on Puerto Rico property, published sources cite 10% (statement of motives of Law 180-2025) and 15% (the general long-term rate, per PwC and Deloitte). Confirm the rate for your case with a CPA. There are exceptions. Under Law 180-2025 (Section 6060.05(c) of the Incentives Code), the gain on the sale of a principal residence in Puerto Rico is exempt from income tax if you occupied it continuously for at least two of the last five years without renting it. Holders of decrees under Section 2022.02 or Act 22-2012 are excluded. The federal exclusion of $250,000 ($500,000 for joint filers) is a separate federal rule. Consult a tax professional about your situation. Puerto Rico residential house Opens in a new window. www.huduser.gov Puerto Rico residential house If you are a non-resident of Puerto Rico, the sale may be subject to withholding on the capital gain at closing. Published tax summaries show generally 15% for U.S. citizens and 25% for foreign nationals. Confirm the current rules with a tax professional. This tax is in addition to any federal income taxes you may owe. If you are a resident of Puerto Rico and you have held the property for more than one year, then the long-term rate cited by published sources is 10% to 15%, as described above. Short-term gains are taxed at regular rates. Confirm the rules for your case with a tax professional. Here are the general steps on how to calculate your Taxes for selling a house in Puerto Rico:

• Determine your sales price.
• Subtract your closing costs.
• Subtract your capital improvements.
• Subtract your original purchase price.
• The remaining amount is your capital gain.
• Multiply your capital gain by 15%.
• The resulting amount is your capital gains tax liability.
• Here are some additional things to keep in mind:

You may be able to deduct certain expenses from your capital gains, such as real estate agent commissions and attorney fees. You may be able to carry over your capital losses to future tax years. You may be able to exclude a portion of your capital gains if you are a disabled veteran or if you are relocating to Puerto Rico under under Act 60.

Informational content, not an appraisal or legal, tax or investment advice. Price ranges are general estimates based on listings reviewed and they change. Ask Puerto Rico Real Estate for current Stellar MLS data: 787-598-4024. Updated October 2026.