Suspension of Tax Lien Withholdings Performed by Employers
October 17, 2017
Given the passage of Hurricane María over Puerto Rico and the dire situation faced by taxpayers, the Puerto Rico Department of the Treasury (“Treasury”) has issued Informative Bulletin 17-24 (“IF 17-24”) on October 15, 2017, ordering all employers to suspend any tax lien proceedings or enforcements over employee salaries in favor of the Treasury for a term of ninety (90) days. This suspension shall be extendable to any amounts that are considered a lien in favor of the Secretary of the Treasury, or any other withholding on salaries established as part of a payment plan with the Treasury.
The provisions of IF 17-24 shall come into effect immediately and shall remain in effect for a period of ninety (90) days and shall also be applicable to the Central Accounting Area of the Government of Puerto Rico and public employees.
Goldman Antonetti stands ready to assist you and your business to adjust to changes in the law. If you need further assistance in this area, please feel free to contact the following members of our firm:
Rebecca Cuevas-Fontán, Esq., CPA
Fernando J. Bruno Ramírez de Arellano, Esq.
Although the information included in this document may concern legal issues, it is not a legal opinion or professional advice and clients shall not use it as such. We assume no responsibility or liability of any kind for any information contained herein, and we expressly disclaim all liability for any claim for damages arising from the use, reference to, or reliance on, such information. If legal or other expert assistance is required, the services of a competent professional should be sought.
IRS Circular 230 Disclosure:
To ensure compliance with requirements imposed by the IRS, we inform you that any tax advice contained in this communication was not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code; or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein.