How Much Does Act 60 Cost to Apply for in Puerto Rico?
Imagine wiring money to your attorney and filling out a dozen DDEC forms, only to realize you budgeted for the wrong decree. That happens a lot, because “Act 60” is one law with several separate incentives, and each carries its own application fee. This guide explains exactly what the DDEC charges for each application and walks through the surrounding costs so you can budget properly.
What You Are Actually Paying For When You Apply for Act 60
When I started looking into Act 60, I kept hearing it described as one big thing. You “get Act 60,” you “apply for Act 60.” In practice, the application process makes you pick a specific incentive. You file for that incentive, and you pay the fee tied to it.
The Two Decrees Most Newcomers Mean
Act 60-2019, the Código de Incentivos de Puerto Rico, is a consolidation law. It took a long list of older incentive statutes and folded them into one code. Two of those older laws are the ones nearly every newcomer in my circle cared about:
- Export services. This was formerly Act 20-2012, the “Ley para Fomentar la Exportación de Servicios.” Under Act 60 it lives in Section 2031.01. It is aimed at businesses based in Puerto Rico that provide services to clients outside the island.
- Resident individual investor. This was formerly Act 22-2012, the “Ley Para Incentivar el Traslado de Individuos Inversionistas a Puerto Rico.” Under Act 60 it lives in Section 2021.01. It is aimed at individuals who relocate and become residents of Puerto Rico.
Keep those two section numbers in mind. The fee table, your attorney’s engagement letter and the DDEC portal all refer to them. When my lawyer first sent me a document that said “2021.01,” I had no idea what it meant. Knowing the numbers saves you a lot of confused emails.
The two decrees are different in kind. The export services decree is granted to a business entity. The resident individual investor decree is granted to you, the person. Many people who move here with a consulting or tech business apply for both, one for the company and one for themselves. That choice has the biggest effect on what you spend at the application stage.
For a fuller picture of what each incentive does once granted, see Understanding Act 60 Tax Incentives in Puerto Rico: The Full Guide (2026).
Where the Fees Come From
The application fees are not set in the Act 60 text itself. They come from the Department of Economic Development and Commerce, known locally as DDEC, through its incentives regulation. The relevant document is DDEC Regulation No. 9414, an amendment dated 27 October 2022 to Incentives Regulation No. 9248. The fee table sits in Article 6020.01(b)(3)-1.
Each application carries two separate charges:
- A transaction charge, which is a small processing amount.
- A service charge, which is the substantive fee for DDEC to review and process your application.
That is why the totals look a little odd. Nobody quotes a round number because the five-dollar transaction charge always comes on top.
Regulations get amended, and DDEC can update its fee schedule. Treat the figures below as your planning baseline. On the day you file, confirm the amount the DDEC portal actually asks you to pay.
The Official DDEC Application Fees, Decree by Decree
Here are the figures from the DDEC fee table, as of October 2026:
| Act 60 Incentive | Section | Former Law | Transaction Charge | Service Charge | Total at Filing |
|---|---|---|---|---|---|
| Export of goods and services business | 2031.01 and 2031.02 | Act 20-2012 for export services | $5.00 | $1,000.00 | $1,005.00 |
| Resident individual investor | 2021.01 | Act 22-2012 | $5.00 | $5,000.00 | $5,005.00 |
| Both applications filed together | 2031.01 plus 2021.01 | Act 20-2012 and Act 22-2012 | $10.00 | $6,000.00 | $6,010.00 |
The last row simply adds the first two. Each application is still filed and charged on its own.
Export Services Application Cost
The export services application costs $1,005.00 at filing, as of October 2026. That is a $5.00 transaction charge plus a $1,000.00 service charge. The same fee line covers export of goods and services businesses under Sections 2031.01 and 2031.02.
This is the cheaper of the two at the DDEC level, but it is rarely the cheaper one overall. The applicant has to be a business, so before you file you need an entity that DDEC can issue a decree to. That entity has its own formation and registration costs, which I cover below.
Here is a realistic case. A friend of mine ran a two-person marketing agency serving clients in Chicago and Toronto. She formed a Puerto Rico LLC, got it registered, and then filed the export services application. The $1,005.00 DDEC fee was the smallest line in her setup budget. Her attorney’s fee, the company formation and her first months of rent in Guaynabo were all larger. If you are freelancing solo and wondering whether this route fits, see Can I Get Act 60 Benefits as a Freelancer in Puerto Rico? and Understanding Act 60 (Export Services) Benefits for Businesses in Puerto Rico.
Resident Individual Investor Application Cost
The resident individual investor application costs $5,005.00 at filing, as of October 2026. That is a $5.00 transaction charge plus a $5,000.00 service charge, under Section 2021.01.
This is the one that makes people wince. It is five times the business application’s service charge, and it is only the entry ticket. After the decree is granted, this incentive comes with ongoing obligations that cost money every year, which I cover in the compliance section.
I remember sitting in a café in Old San Juan with a guy who had just moved down from Austin. He had saved for the move and the apartment deposit, and he was stunned that the individual application alone was over five thousand dollars before any professional fees. My advice to him, and to you, is to treat the $5,005.00 as a fixed, known cost. The variable costs around it are what usually blow a budget.
For the eligibility side and the document list, see How to Apply for Act 60 (Individual Investor) Benefits in Puerto Rico.
Applying for Both
If you have a service business and you are relocating personally, the combined DDEC application cost is $6,010.00. That is $1,005.00 for the business plus $5,005.00 for you as an individual.
You do not have to file both on the same day. Some people file the business application first, then file the individual one once their residency footing is clearer. Others file both together so the attorney handles everything in one engagement. Your professional advisor should help you decide the order, because it affects your timeline as well as your cash flow. Timing is covered in How Long Does the Act 60 Decree Process Take in Puerto Rico?.
The Costs Around the Application That Nobody Puts on the Invoice
This is the section I wish someone had walked me through before I moved. The DDEC fee is the easy part, a published number you pay once. Everything around it is where the real money goes.
Professional Fees for Attorneys and CPAs
You are not legally required to hire anyone to file. In practice, nearly everyone I know used a Puerto Rico attorney, a CPA, or both. Here is why:
- The application asks for supporting documents, business plans and representations that need to be precise.
- Once approved, the decree becomes a binding agreement with the government, with conditions you must meet for its entire term.
- The way you structure your business before you apply affects which income the decree actually covers.
Professional fees vary widely. Some firms charge a flat fee per decree application. Others bill hourly. Some bundle the application with entity formation and first-year compliance. Ask for a written engagement letter that spells out:
- Which decree or decrees the fee covers.
- Whether DDEC’s own application fees are included or passed through to you separately.
- Whether entity formation, merchant registration and tax registrations are included.
- Whether first-year annual reporting is included or billed later.
- What happens to the fee if DDEC asks for more information or the application stalls.
Point two matters more than you would think. Some quotes fold the DDEC fee into a single price, while others bill it separately. Compare like with like.
You will also need help with tax filings once you are here. You will likely file with Hacienda on the island and may still have federal filing obligations depending on your income sources. Taxes for Expats is one firm that works with Americans living outside the mainland and handles both federal returns and mixed-income situations. Whoever you use, make sure they actually understand Puerto Rico residency rules and decree income. A mainland preparer who has never seen a decree can cause expensive mistakes. Check the provider’s own pricing pages for their current fees.
The decree itself is a formal agreement with conditions, and it helps to understand that before you sign anything. See Understanding the Tax Closing Agreement (Decree) Process in Puerto Rico.
Business Setup Costs for an Export Services Company
If you are going the export services route, the business has to exist before DDEC can issue it a decree. Expect costs in these categories:
- Entity formation with the Puerto Rico Department of State, whether an LLC or a corporation, plus the filing fees that come with it.
- A registered agent if you use one, usually billed as an annual service.
- Tax registrations with Hacienda, including the merchant registration.
- Municipal obligations, such as the patente, the municipal license tax, which depends on where the business operates.
- A business bank account, which has its own documentation hurdles if the company is brand new.
- Office space if you need a physical location, or a coworking membership.
None of these are DDEC fees, but they are real costs of being eligible to file. For the formation side, see How to Register a Corporation or LLC in Puerto Rico.
Here is one scenario I see often. Someone forms a Delaware LLC on the mainland and assumes it can apply as-is. Talk to your attorney early about whether your existing entity works or whether you need a Puerto Rico entity. Restructuring after you have already filed is far more expensive than getting it right up front.
Residency, Housing and the Move Itself
The individual investor decree only makes sense if you actually become a bona fide resident of Puerto Rico. That brings a whole category of costs that have nothing to do with DDEC but everything to do with whether the decree delivers what you expect:
- Housing. The individual investor incentive carries a requirement involving residential property in Puerto Rico. Confirm the current conditions and deadline in your decree terms and with your attorney, then budget for a purchase, closing costs and property tax with CRIM.
- Moving costs. Shipping household goods, possibly shipping a car, travel back and forth during the transition, and temporary housing while you search.
- Establishing ties. A Puerto Rico driver’s license, vehicle registration, voter registration if you choose, local bank accounts and local doctors. Each step is small, but together they add up.
Residency is not a box you tick once. You have to meet the presence, tax home and closer connection tests, and you have to keep meeting them. See How to Establish Bona Fide Residency in Puerto Rico (2027) before you commit to the individual decree.
A quick real-world example. A couple I know from Dorado filed the individual application before they had really settled. They spent the first year flying back to New Jersey for family events far more than they planned. They ended up paying their advisor extra to review whether their day count and connections still held up. The DDEC fee was fixed. The cost of getting residency wrong was not.
Ongoing Compliance After the Decree Is Granted
Once the decree is granted, you take on recurring obligations. These are the costs people forget, because they arrive a year after the excitement of approval.
For the resident individual investor decree, the main recurring items are:
- An annual report filed with DDEC, which carries its own filing fee. Check the DDEC portal for the current amount.
- An annual donation to qualifying nonprofit organizations in Puerto Rico, required under the individual investor rules. The amount and the eligible recipients are set out in the rules and your decree, so confirm them with your advisor.
- Professional fees for preparing the annual report and your tax returns.
For the export services decree, the main recurring items are:
- An annual report to DDEC for the business, with its filing fee.
- Corporate annual reports with the Department of State for the entity itself.
- Conditions in the decree around how the business operates on the island, which can include requirements related to employment. Read your specific decree.
- Accounting and tax preparation for the business.
Missing any of these can put the decree at risk, which is a far bigger cost than any filing fee. For the full rundown, see Understanding the Act 60 Annual Donation and Compliance Requirements.
Here is a summary of the cost categories:
| Cost Category | Applies To | One-Time or Recurring | Where to Confirm the Amount |
|---|---|---|---|
| DDEC application, export services | Business under Sections 2031.01 and 2031.02 | One-time | DDEC fee table: $1,005.00 as of October 2026 |
| DDEC application, resident individual investor | Individual under Section 2021.01 | One-time | DDEC fee table: $5,005.00 as of October 2026 |
| Attorney and CPA fees for the application | Either decree | One-time, sometimes bundled | Your advisor’s engagement letter |
| Entity formation and registrations | Export services | One-time, plus annual renewals | Department of State, Hacienda, your municipality |
| Residential property requirement | Resident individual investor | One-time purchase, then property tax | Your decree terms, CRIM for property tax |
| DDEC annual report and its filing fee | Either decree | Recurring every year | DDEC portal |
| Annual nonprofit donation | Resident individual investor | Recurring every year | Your decree terms and advisor |
| Tax return preparation | Either decree | Recurring every year | Your tax preparer |
A Step-by-Step Way to Budget and File Without Surprises
After going through this myself and watching friends go through it, here is the order I would follow if I were starting again.
- Decide which decree or decrees you actually need. A service business only: export services. Relocating personally to benefit as an individual: resident individual investor. Both: plan for both.
- Write down the DDEC fixed costs first. $1,005.00 for export services, $5,005.00 for resident individual investor, or $6,010.00 for both. These are your known numbers.
- Get two or three written quotes from Puerto Rico professionals. Compare what each quote includes, especially whether the DDEC fees are inside or outside the price.
- Map out your entity setup if you are applying for export services, including formation, registrations and banking.
- Map out your residency costs if you are applying as an individual, including housing, the property requirement, the move and the paperwork that establishes local ties.
- Add a first-year compliance line for the annual report fee, the donation if applicable, and tax preparation.
- Confirm the current DDEC fee on the portal on the day you file, and pay exactly what the system requests.
- Keep every receipt and confirmation. You will want them for your records, your advisor and any future questions about your decree.
Paying From a Mainland Account
Most people moving here still have their savings in a mainland bank during the application stage. Puerto Rico uses the US dollar, so there is no currency conversion when you move money from a mainland bank to an island bank, your attorney or DDEC. You still have to think about transfer fees, wire cut-off times and the documentation your new Puerto Rico bank may ask for.
If you are coming from outside the United States, or you hold savings in another currency, the conversion step does matter. Wise is useful in that situation for converting money into dollars and sending it to a US or Puerto Rico account, because it shows the exchange rate and fee before you commit. Check Wise’s own pricing page for current costs, and confirm with your attorney or the DDEC portal which payment methods they accept before you send anything.
For a broader comparison of transfer options, see What Is the Best Way to Send Money Between the Mainland and Puerto Rico?.
A practical tip from my own experience: do not leave the DDEC payment to the last minute. If your card gets flagged for a large charge, or a wire takes longer than expected, you lose days. I called my mainland bank before filing to warn them a charge was coming. It sounds silly, but it saved me a frustrating afternoon.
Two Realistic Budgeting Scenarios
Scenario one: the solo consultant. Daniela is a software consultant from Atlanta who bills clients on the mainland and in Europe. She plans to form a Puerto Rico LLC and apply for export services. She does not plan to apply for the individual decree right away. Her DDEC cost is $1,005.00. Her bigger numbers are the attorney’s flat fee for formation and the application, her accountant, the LLC’s registrations and her apartment in Condado. Her recurring costs are the business’s DDEC annual report and fee, the LLC’s corporate annual report and bookkeeping. Her budget is driven mostly by setup and professional fees, not by DDEC.
Scenario two: the investor and business owner. Marcus sold a company in California, still runs a smaller advisory business, and is relocating with his family to Dorado. He applies for both decrees: export services for the advisory company and resident individual investor for himself. His DDEC application cost is $6,010.00. He also has to plan for the residential property requirement, the annual nonprofit donation, two annual reports with DDEC, corporate filings for the business, and tax preparation that covers mainland and island obligations during the transition year. For Marcus, the DDEC fees are a small slice of the total. Residency, housing and compliance are the real budget.
Both scenarios come back to the same point. The DDEC fee is real and you should plan for it to the dollar, but it is never the whole story. Budget the surrounding costs with the same care and give yourself room for the inevitable extra trip to an office in Hato Rey. Then Act 60 becomes a manageable project instead of a financial shock.
Disclaimer
This article is for general informational purposes only and does not constitute professional advice. Laws, prices and regulations vary by location and change over time. Consult a qualified professional for guidance on your specific situation.
